Thailand’s state oil firm in search for new gas supply

"PTT wanted the government to speed up talks with Cambodia on exploring oil and gas in disputed areas" - Chitrapongse Kwangsukstith, PTT senior executive vice president in charge of exploration & production and gas business group

BANGKOK, Feb 18 (TNA) – In a bid to ensure national energy security, Thailand’s state-owned energy giant, PTT Plc, said it would intensify efforts to secure new sources of liquefied natural gas, acknowledging growing public opposition against coal-fired power plants.

Chitrapongse Kwangsukstith, PTT senior executive vice president in charge of exploration & production and gas business group, said the company was negotiating with a host of countries including Australia, Indonesia, Malaysia, Egypt and Nigeria over purchases of natural gas. The company planned to import at least 5 million cubic tonnes from these countries in 2013-2014.

The state oil firm had already signed a deal with Iran to import 3 million tonnes of natural gas in 2011 and was about to build a new storage facility in Rayong on Thailand’s eastern coast, about three hours from Bangkok.

Mr Chitrapongse said opportunities to increase supplies from Myanmar via the existing gas pipeline were also explored. PTT wanted the government to speed up talks with Cambodia on exploring oil and gas in disputed areas, he added.

Earlier this month, Energy Minister Piyasvasti Amranand was in Qatar to discuss energy deals as well joint investment in the petrochemical industry.

“Qatar has a huge reserve of natural gas. It can produce up to 77 million tonnes per day or equivalent to 5 million barrels of oil. We have enjoyed close relations with the country and the minister had invited Qatar companies to invest in petrochemical production here,” Mr Chitrapongse told reporters.

Thailand’s state oil firm has scouted the world for new energy sources in recent years as authorities expressed deep concern about the future of coal and coal-fired power plants. Depleting reserves and growing environmental campaign against lignite-power plants have raised question about its long-term viability and thus Thailand’s energy security.