In Myanmar, oil and gas production is being undertaken by the Myanma Oil and Gas Enterprise on its own and also in joint ventures. The natural oil and gas resources are said to be 1473 million barrels of crude oil and 14290 billion cubic feet of natural gas. The daily yield is 12,000 barrels of crude oil and 160 million cubic feet of natural gas.
In accordance with the third Economic Objective--- "Development of the economy inviting participation in terms of technical know-how and investments from sources inside the country and abroad", joint ventures are being launched with foreign oil companies.
Efforts are being made to increase the production of oil and gas in Yenangyaung and Chauk oil fields with APN Petroleum Co of Indonesia; in Mann oil field with Baker Hughes Co of USA; in Mintegyi-Chaungtha (RSF-6) with Midland Scottish Resources Co of UK; in Ohntwe (RSF-5) Padaukpin, Moenatkon (MOGE-3) and Kyaukkyi-Mindon (EF-1) with PT Easpan Sumatra Co of Indonesia; in Htauksharbin-Kanni oil field with Asia Pacific Energy Co of Hongkong; in Pyalo (RSF-9) and Indaw (C-1) with Pacrim Energy NL Co of Australia and in Myanaung oil field with American Tile South East Asia Co of Canada.
As regards offshore oil exploration, joint ventures are being launched in M-5, M-6 and M-8 blocks with the French Total Co, the American Unocal Co and the Thai PTT Co; in M-10, M-12 and M-14 blocks with the American Texaco Co, the British Premium Co and the Japanese Nippon Oil Co; in M-7 and M-9 blocks with the American ARCO Co; M-3 and M-4 blocks with the Malaysian Detaran Isibumi Co.
The Yadana natural gas local supply project is being implemented at Kyaikhtaw region in Kawhmu Towship of Yangon Division. The Ministry of Energy in collaboration with the French Total Co, the American Unocal Co and the Japanese Mitsui Co, is carrying out the works for laying a 20-inch diameter pipe line from Yadana natural gas field to the project site; for constructing Urea fertilizer plant with a production capacity of 0,57 million ton per year; and constructing a 320-megawatt natural gas turbine.
The oil refineries under the Myanma Petro-chemical Enterprise are refining crude oil. To be exact, the Thanlyin Refinery has the capacity of refining 25,000 barrels of crude oil per day. The Chauk Refinery has the capacity of refining 5,000 barrels of crude oil per day. Thus, altogether 55,000 barrels of crude oil per day can be refined by the three refineries.
As regards fertilizers, the Sale fertilizer plant can produce 120 metric tons of Ammonia fertilizer and 205 metric tons of Urea fertilizer; the Sale extension plant can produce 180 metric tons of Ammonia fertilizer and 260 metric tons of Urea fertilizer; the Kyunchaung plant can produce 120 metric tons of Ammonia fertilizer and 207 metric tons of Urea fertilizer; and Kyawswa plant can produce 360 metric tons of Ammonia fertilizer and 600 metric tons of Urea fertilizer. Hence, it can be seen that the four plants have the capacity of producing 780 metric tons of Ammonia fertilizer and 1272 metric tons of Urea fertilizer.
The Minbu liquified gas factory can produce 30,000 metric tons of liquified gas per year, the Thanbayakan plant can produce 14,500 metric tons of liquified gas per year, and the Thanlyin plant can produce 6,900 metric tons of liquified gas per year. Likewise, the Seiktha Methanol plant can produce 450 metric tons of methanol per day.
The Myanma Petroleum Products Trading has 26 storage depots and 258 filling stations.
The Yadana natural gas project
The Yadana off-shore natural gas field is located in M-5 and M-6 blocks under a profit sharing contract with the French Total Co. It is a huge natural gas trove. Plans are under way to sell the natural gas from the Yadana gas field to Thailand with effect from July 1998. A contract has been signed to sell 525 million cubic feet of natural gas per day. However, the sales will be raised as surrounding gas depots named Ruby, Diamond and Sapphire are found to have huge volumes of natural gas. Negotiations are being made to sell more natural gas.
With a view to send natural gas to Thailand, the 36-inch diameter pipeline with the length of 63 kilometres is being laid. In this context, the pipelaying inland has been completed cent per cent. The under-water pipe with the same diameter and a length of 345 kilometres is being laid. It is learnt that the under-water pipe-laying will be completed as scheduled.
The Yetagun natural gas project
The Yetagun natural gas field was found by the American Texaco Co at M-12 off-shore block. The natural gas from Yetagun gas field will be sold to Thailand. A contract has been signed to sell 200 million cubic feet of natural gas per day from the Yetagun gas field to Thailand through a 24-inch diameter pepeline. The sales will begin in mid 1999. Together with the natural gas, 7,000 barrels of crude oil per day can also be produced from the Yetagun gas field.
Off-shore block M-9
Under the contract, the American ARCO Co has explored M-9 off-shore block has been found to produce 30 million cubic feet of natural gas per day at maximum.
Aung Zeya test well No.1
The Aung Zeya test well No.1 is located at M-12 off-shore block in Tanintharyi Division. It is 25 miles northwest of the Yetagun oil and gas field and about 200 miles west of Dawei. The employees and technicinas of Texaco Exploration Myanmar Inc and Myanma Oil and Gas Enterprise began the drilling on 6 September 1997. At a depth of 12387 feet natural oil and gas are found to be productive commercially.