Business

Burma Awards Statoil, Conoco Phillips Deep-Sea Exploration Contract: State Media

By Aung Hla Tun 4 May 2015

RANGOON — Burma has awarded contracts to international oil majors Statoil and ConocoPhillips for oil and gas exploration in a deep-water offshore block, the official Kyemon Daily said on Sunday.

The state newspaper said the two companies’ regional subsidiaries—Singapore-registered Statoil Myanmar Private Ltd. and ConocoPhillips Myanmar E&P Pte. Ltd.—agreed to invest US$323 million in oil and gas exploration in Deep-Sea Block AD.10, off Burma’s western Arakan State coast.

Under the contracts, signed last week, production sharing agreements would span eight years. The companies will have to undertake environmental impact studies first, the newspaper said.

Last year, Burma awarded exploration rights to the two companies, as well as to Royal Dutch Shell and Total, for 10 shallow-water blocks and 10 deep-water blocks.

During the fiscal year that ended in March, Burma attracted foreign direct investment totaling $8 billion, of which more than 35 percent was generated by the energy sector, according data released by Myanmar Investment Commission.

Burma has targeted raising $6 billion through FDI during the current fiscal year.

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