Global Times: More Foreign Companies Seek Oil, Gas Exploration in Myanmar

Two more foreign companies have joined exploration and production of oil and gas in Myanmar's offshore areas recently, signifying more new foreign investment into the sector in the country this year.

Under the production sharing contracts with the state run Myanmar Oil and Gas Enterprise (MOGE), the exploration and production will be conducted by Shell Myanmar Energy Pte Ltd and Mitsui Oil Exploration Co Ltd Group at three blocks -- AD-9 and AD-11 blocks off Rakhine coast as well as MD-5 blocks off Taninthayi coast.

MOGE will get 61 million US dollars for signature bonus and 300,000 dollars for data fee. The foreign companies will spend 1. 215 million dollars during two years' observation period and six years' exploration period for the three blocks.

The companies will also conduct environmental and social impact assessments during the period.

In December last year, Myanmar signed similar contracts with three Indian companies and a Singapore-based company to explore oil and gas in the Mottama offshore blocks. MORE