Thai oil and gas giant PTT Exploration and Production PLC (PPTEP) on Monday said it would take over Myanmar’s Yadana gas field from July after exiting France’s Total Energy.
Following the announcement of TotalEnergies to withdraw from the Yadana project as an operator and joint venture partner, PTT Exploration and Production Public Company Limited (PTTEP) has carefully considered the situation in the field, giving maximum importance to sustainability of gas production and impeding energy demand. The Yadana project is a major source of natural gas for the livelihoods of the people of both Myanmar and Thailand. PTTEP said in a press release.
After the 1971 coupSt. In February 2021 in Myanmar, TotalEnergies strongly condemned the torture and human rights abuses that took place there.
TotalEnergies is also considering imposing targeted sanctions on French authorities that would limit all financial flows from various partners to escrow accounts without stopping gas production. TotalEnergies has not identified any way to do this.
The continued presence of Asian energy companies in Myanmar raises concerns that they could blunt the impact of the new EU sanctions on the country’s state oil and gas companies.
The United Nations has said in its first comprehensive human rights report since last year’s coup that Myanmar’s military has systematically committed human rights abuses, including a number of war crimes and crimes against humanity.
Many victims have been shot in the head, burned, arbitrarily arrested, tortured or used as human shields, the UN report said in a statement, calling for “meaningful action” by the international community.
The main supplier of gas demand in Thailand
The Yadana project currently produces about 770 million standard cubic feet (MMSCFD) of natural gas per day, of which about 220 MMSCFD, which accounts for 50% of the country’s gas demand, is inevitably supplied for power generation in Myanmar.
Thailand also relies on this energy source because about 550 MMSCFD of gas from the field is supplied to 12 different power plants to generate electricity, meeting the needs of 11 million people living in the western and central parts of Thailand. This amount of imported gas contributes about 11% of Thailand’s gas demand.
Following TotalEnergies’ decision to withdraw from the Yadana project, PTTEP has carefully considered taking steps as a successor operator to ensure uninterrupted supply of natural gas and strengthen long-term energy security, especially in the current situation where other energy forms are primary sources of power generation. No.
Under the Production Operating Agreement (POA), shares of TotalEnergies will be allocated proportionally to the remaining joint venture partners with no commercial value. After the effective date of withdrawal of TotalEnergies, PTTEPI will hold 37.0842% participatory interest, while Chevron’s subsidiary Unocal Myanmar Offshore Company Limited will hold 41.1016%, which is the largest participant interest in this project.
Boundless unrest in Myanmar
Myanmar has been in turmoil since the military overthrew an elected government in February 2021, on the brink of civil war: thousands of protesters have been arrested and the military has been accused of shelling and airstrikes on civilian areas.
On the eve of the first anniversary of the coup in Myanmar on 1 February 2021, Reporters Without Borders (RSF) called on all multinational corporations to provide direct or indirect financial support to Myanmar’s military to follow the example set by power giants Chevron and Chevron. Total, which announced on January 21 that they are closing all operations in this country.