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
EIA: Permian, Bakken Associated Gas Growth Pressures NatGas Producers
2024-04-18 - Near-record associated gas volumes from U.S. oil basins continue to put pressure on dry gas producers, which are curtailing output and cutting rigs.
Benchmark Closes Anadarko Deal, Hunts for More M&A
2024-04-17 - Benchmark Energy II closed a $145 million acquisition of western Anadarko Basin assets—and the company is hunting for more low-decline, mature assets to acquire.
‘Monster’ Gas: Aethon’s 16,000-foot Dive in Haynesville West
2024-04-09 - Aethon Energy’s COO described challenges in the far western Haynesville stepout, while other operators opened their books on the latest in the legacy Haynesville at Hart Energy’s DUG GAS+ Conference and Expo in Shreveport, Louisiana.
Mighty Midland Still Beckons Dealmakers
2024-04-05 - The Midland Basin is the center of U.S. oil drilling activity. But only those with the biggest balance sheets can afford to buy in the basin's core, following a historic consolidation trend.
Mesa III Reloads in Haynesville with Mineral, Royalty Acquisition
2024-04-03 - After Mesa II sold its Haynesville Shale portfolio to Franco-Nevada for $125 million late last year, Mesa Royalties III is jumping back into Louisiana and East Texas, as well as the Permian Basin.