Thailand expects to hold an auction for two gas fields in March after terms are approved, Energy Minister Siri Jirapongphan said Feb. 9 at a seminar.
The Energy Ministry and Department of Mineral Fuels will finalize the terms of the auction by the end of February and send it to the Cabinet for approval in March before the gas fields are open to bids, the minister said.
“One condition is that bidders will have to maintain a combined production level in both fields of at least 1.5 billion cubic feet per day,” Minister Siri said, adding that the selection process will take between five and six months.
Currently, the areas have a combined output of 2.1 billion cubic feet a day, according to government data.
Chevron Corp. operates the Erawan Field while state-owned PTTEP operates the Bongot Field under licenses which are set to expire in 2022 and 2023, respectively.
Last month, Royal Dutch Shell sold its 22% stake in the Bongkot Field to PTTEP for $750 million. PTTEP has said that it would participate in the auction of both fields.
Auctions were slated to take place in December 2017 but have since been delayed.
Recommended Reading
Markman: Is MethaneSAT Watching You? Yes.
2024-04-05 - EDF’s MethaneSAT is the first satellite devoted exclusively to methane and it is targeting the oil and gas space.
Tax Credit’s Silence on Blue Hydrogen Adds Uncertainty
2024-01-31 - Proposed rules for the 45V hydrogen production tax credit leave blue hydrogen up in the air, but producers planning to use natural gas with carbon capture and storage have options.
US Finalizes Big Reforms to Federal Oil, Gas Drilling
2024-04-12 - Under the new policy, drilling is limited in wildlife and cultural areas and oil and gas companies will pay higher bonding rates to cover the cost of plugging abandoned oil and gas wells, among other higher rates and costs.
US EPA Expected to Drop Hydrogen from Power Plant Rule, Sources Say
2024-04-22 - The move reflects skepticism within the U.S. government that the technology will develop quickly enough to become a significant tool to decarbonize the electricity industry.
Exclusive: Dan Romito Urges Methane Mitigation Game Plan
2024-04-08 - Dan Romito, the consulting partner at Pickering Energy Partners, says evading mitigation responsibility is "naive" as methane detection technology and regulation are focusing on oil and gas companies, in this Hart Energy Exclusive interview.