Australian firm to explore gas in Myanmar
Xinhua, August 27, 2015 Adjust font size:
An Australian firm has signed a production sharing contract with Myanmar to explore gas in the Mottama offshore area, according to an official report Thursday.
The exploration will be launched at block M-7 involving a local private company.
The agreement provides a 5.2 million U.S. dollars' signature bonus and a 3.5 million USD's data fee, the report said, adding that 110.75 million USD will be spent during two years' observation period in the gulf of Mottama and another 110.75 million USD during a six-year oil testament period.
An environmental impact assessment and social impact assessment are to be conducted before exploration begins.
Statistics show that in the first half of this year, seven companies from Britain, Australia, Japan, Italy and India had respectively signed production sharing contracts with Myanmar to explore oil and gas at blocks off Rakhine coast, Taninthayi coast and Mottama.
Myanmar is rich in natural gas resources especially in the offshore areas.
Foreign investment in Myanmar's oil and gas sector amounted to 19.641 billion U.S. dollars as of the end of May 2015 accounting for 34.74 percent of the total and ranking the first sectorally in the country's foreign investment line-up. Endi