Thailand’s PTTEP increasing stake in Vietnam
PTT Exploration and Production Plc (PTTEP) plans to increase crude oil production from its oil block in Vietnam by 34 percent in the fourth quarter to 55,000 barrels per day.
The company yesterday announced the successful installation of the second wellhead platform.
Tevin Vongvanich, the president and chief executive, said the move will increase production capacity in the Vietnam 16-1 Project.
He said production of crude oil from the Te Giac Trang (TGT) field of the 16-1 Project in Vietnam reflects the continued cooperation of PTTEP and its partners.
The TGT field is located off the southern coast of Vietnam, 100 kilometres from Ba Ria-Vung Tau province.
Oil production commenced last August.
The Vietnam 16-1 Project consists of a floating production storage and offloading unit, two wellhead platforms and a subsea pipeline system. It is operated by Hoang Long Joint Operating Co, which was established by four partners _ PTTEP Hoang Long Co, a wholly owned subsidiary of PTTEP, with a 28.5 percent share, PetroVietnam Exploration Production Corporation (41 percent), Soco Vietnam Co (28.5 percent) and Opeco Vietnam Ltd (2 percent).
PTTEP has invested in four exploration and production projects in Vietnam.
Vietnam 9-2 and Vietnam 16-1 are both producing, while Vietnam B & 48/95 and Vietnam 52/97 are in the pre-development phase.
PTTEP has three petroleum projects primed to produce this year including Vietnam’s 16-1 and Bongkot South, which had output of 330 million cubic feet per day last month.
It expects its first gas in November from Australia’s Montara off-shore southwest.
In a related development, PTTEP, which is battling Royal Dutch Shell Plc to take over Cove Energy Plc, yesterday said it moved up the deadline for its offer for the East Africa-focused explorer to this Friday from last Friday.
Its bid has been approved by Kenya’s competition authority.
On May 23, PTTEP made a 1.22 billion (60 billion baht) cash offer for Cove Energy, beating Royal Dutch Shell’s April 24 offer of 1.12 billion.
The company also received approval in late May from the Mozambican government for its proposed acquisition of Cove.
Cove’s primary asset is an 8.5 percent interest in Mozambique’s Rovuma Offshore Area 1.
It also has a 10 percent stake in a Rovuma onshore project as well as interests ranging from 10-25 percent across seven blocks in Kenya’s offshore deep-sea area.
PTTEP shares closed yesterday on the Stock Exchange of Thailand at 173 baht, down four baht, in trade worth 260 million baht.
http://www.bangkokpost.com/business/economics/301723/pttep-increasing-stake-in-vietnam
Category: ResourceAsia
