PTTEP: New production set to come online in 2014

PTT Exploration and Production Plc (PTTEP), Thailand’s sole petroleum explorer, expects oil and gas production at the firm to rise by 8-10% next year to 370,000 barrels of oil equivalent a day.

Executive vice-president Asadakorn Limpiti said the extra production will include natural gas from Myanmar’s Zawtika offshore field, with output starting at 300 million cubic feet per day, rising to 420 cfpd within a few years.

Mr Asadakorn said gas output from Zawtika will be imported to Thailand via pipeline at the rate of 240 million cfpd.

Additionally, capacity expansion for crude at the Montara field off of Australia will conclude next year, rising to 30,000 barrels per day from 11,000 bpd.

PTTEP plans to more than double production from oil sands in Canada’s KKD field by 2017, to 38,000 bpd from 18,000 bpd.

Closer to home, the company will bid for exploration licences at new oil and gas fields in Indonesia and Myanmar.

In related news, the Mineral Fuels Department forecasts state revenue growth from exploration and production (E&P) in Thailand of 23% this year to 199 billion baht thanks to rising output and higher global oil prices.

State revenue is generated from royalty fees, revenue sharing and tax.

Director-general Songpop Polachan said his department is preparing for public hearings in the latest round of E&P licence bidding this year, expecting to provide 22 licences.

Shares of PTTEP closed yesterday on the Stock Exchange of Thailand at 157 baht, down 2.50 baht, in trade worth 547 million baht.