The PTT Exploration and Production Public Company Limited (PTTEP) has announced a five-year investment plan (2019-2023) to add value to legacy assets through exploration and production (E&P) activities and to support investment opportunities in areas rich in petroleum to sustain the company’s long-term growth.
Phongsthorn Thavisin, PTTEP Chief Executive Officer, said the company has set aside US$3,256 million (equivalent to K5,007,728 million) for PTTEP and its subsidiaries in 2019, of which $1,840 million (K2,829,920 million) is capital expenditure (CAPEX), and $1,416 million (K2,177,808 million) is Operating Expenditure (OPEX).
The company is also targeting average petroleum sales volume of 318,000 barrels of oil equivalent per day (BOED).
The allocation of CAPEX has been divided according to three main objectives. The first is to maintain the production plateau of existing projects in Thailand and the Republic of the Union of Myanmar with a CAPEX of $1,159 million (K1,782,542 million). These projects include the S1 Project, the Bongkot Project, the Arthit Project, the MTJDA Project, and the Zawtika Project.
The second objective is to increase petroleum reserves and future production, for which PTTEP has allocated a CAPEX of $490 million (K753,620 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. To meet the third objective of enhancing existing resources that support long-term growth, the company has allocated $191 million (K293,758 million) for exploration activities, including its projects in Myanmar and Malaysia. To achieve the planned operational continuity, PTTEP has also allocated $16,105 million (K24,769,490 million) for its five-year operations (2019-2023).