Apr 18, 2011

Myanmar estimates possession of 3.2 billion barrels of oil reserves, 89.722 trillion cubic feet of natural gas reserves

According to the estimation of Ministry of Energy, Myanmar possesses about 3.2 billion barrels of oil reserves and 89.722 trillion cubic feet of natural gas reserves.

A responsible person of Myanma Oil and Natural Gas Enterprise said, “Due to geographical condition of the country, there are many possible oil and natural gas fields. Among them, the oil exploration has been started in the central Myanmar, Pyay Valley and Delta. Offshore oil and natural gas explorations are being carried out, and the well-known projects are Yetagun, Yatanar, Zawtika and Shwe.

Among inland oil and natural gas fields, Yenanchaung and Chauk oil fields, which were discovered over a century, are the most famous sites. The exploration is continuing up to now.

At present, about 7 million barrels of crude oil and over 439, 000 million cubic feet of natural gas are being explored each year from inland and offshore oil fields. Myanma Oil and Natural Gas Enterprise started to sign the contracts with foreign companies for joint venture exploration at inland fields numbering 46 and offshore
fields numbering 25 in October 1989. At present, seven foreign companies are exploring oil and natural gas at 12 inland fields. Seven foreign companies have signed 15 joint venture contracts since 1990 for offshore fields. At present, four foreign enterprises are leading in the actual exploration of 10 offshore fields.

In addition, more foreign companies are being invited for oil explorations at six offshore fields in Rakhine State, nine offshore fields at the Gulf of Mottama and four offshore fields at Thanintharyi.

Currently, the crude oil explored in Myanmar is refined in the country. Natural gas becomes a major export of the country. Natural gas from Yatanar and Yetagon gas fields were sold to Thailand in 1998 and 2000. The agreements have been signed to sell natural gas from these projects with 30-year contracts.

Moreover, natural gas from Shwe Project of Offshore Rakhine and Zotika Project of Gulf of Mottama will be sold to China and Thailand. Construction of pipelines is underway to start the sales commencing from May and October 2013.

Source: Eleven Media Group