Bangkok--Jan 26--PTT
Today (January 26, 2006), Mr. Viset Choopiban, Minister of Energy, chaired the Signing Ceremony of Jasmine Crude Oil Agreement between Mr. Prasert Bunsumpun, President of PTT Public Company Limited (PTT), and Mr. Keith Cameron, Managing Director and Chief Executive Officer of Pearl Energy Co., Ltd which is the mother company of Pearl Oil (Thailand).
Under the Agreement, total crude from Jasmine Production Area in the Gulf of Thailand operated by Pearl Oil (whose current production capacity is around 10,000 barrels per day or Bt9 billion) will be sold to PTT. This represents a stepping stone for Thailand in self reliance of energy by reducing the country’s burden on the import of crude oil, especially during the crucial situation of high fluctuation of oil prices.
Jasmine’s Exploration Block B5/27 started its production activities in June 2005. As of ending 2005, Jasmine’s production capacity from a single drilling platform and 11 drilling wells was around 10,000 barrels per day. In addition, due to the success in its exploration activities in May 2005, Pearl Oil expects to set up 2 more new drilling platforms and drill 6 more wells. Therefore, the company expects to increase its production from the current level by early 2007 onwards.
Mr. Prasert said PTT has already purchased crude oil from Jasmine Production Area for 2 million barrels. Due to the crude quality which provides right proportion of diesel and fuel oil that matches local demand, PTT has negotiated to enter a long-term sale-purchase agreement for the total output from Jasmine Production Area to be supplied to domestic refineries. The contract will importantly help Thailand save its foreign currency on oversea import of crude. Other than to respond to the government’s policy, it also helps boost value of local supply as well as bring about highest utilization of the country’s natural resources.
For more information please contact:
Corporate Public Relations Department
PTT Public Company Limited
Tel: 0-2537-2159-60 Fax: 0-2537-2174 End.