PTT Exploration and Production Public Company Limited (PTTEP) set its 5 years investment plan (2019-2023) to accommodate value-added creation from the legacy assets through exploration and production activities and to support investment opportunities in p

PTT Exploration and Production Public Company Limited (PTTEP) announces its 5-year investment plan (2019-2023), to accommodate value-added creation from the legacy assets through exploration and production (E&P) activities and to support investment opportunities in prolific areas in order to sustain the company’s long term growth.

Phongsthorn Thavisin, PTTEP Chief Executive Officer, announced that the company has set aside a total expenditure of USD 3,256 million for PTTEP and its subsidiaries in 2019, of which USD 1,840 million is Capital Expenditure (CAPEX) and USD 1,416 million is Operating Expenditure (OPEX). The company also targets the average petroleum sales volume at 318,000 barrels of oil equivalent per day (BOED).

The allocation of 2019 CAPEX is divided according to three main business objectives.

The first is to maintain production plateau of existing projects in Thailand and the Republic of the Union of Myanmar with a CAPEX of USD 1,159 million allocated. These projects include the S1 Project, the Bongkot Project, the Arthit Project, the MTJDA Project and the Zawtika Project.

Secondly, to increase petroleum reserves and future production, PTTEP has allocated a CAPEX of USD 490 million to support the Final Investment Decision (FID) of key development projects including the Mozambique Rovuma Offshore Area 1 Project, the Algeria Hassi Bir Rekaiz Project, the Vietnam B & 48/95 and the Vietnam 52/97 Project, and the Contract 4 (Ubon) Project.

For the third objective, the company has allocated USD 191 million for exploration activities including projects in Myanmar and Malaysia to enhance contingent resources that support long term growth.

“From 2019 onwards, PTTEP will move forwards through a more active strategy as we maximize value of existing E&P assets by applying new technology to enhance operational efficiency, while maintaining competitive cost. We target to increase competitiveness through our business diversification plan, which focuses on investments in the Gas Value Chain business, robotics and artificial intelligence (AI) as well as renewable energy. This diversification would create long-term growth and sustainability for PTTEP,” said Phongsthorn.

In order to achieve the operational continuity as planned above, PTTEP has also allocated a budget of USD 16,105 million for its five-year operations (2019-2023).

(Myanmar Business Today: https://www.mmbiztoday.com/articles/pttep-sets-investment-budget-usd-325-billion-2019 )

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