PTTEP faces margin pressure on gas plan
As the Thai NOC embarks on its record five-year investment programme, analysts wonder how it will maintain profitability
Thailand’s NOC and largest petroleum producer PTTEP in December announced its largest-ever five-year investment programme of $24.6bn. Maintaining margins on these investments will be challenging given the gas prices it has committed to receiving for the output of its holdings in the Gulf of Thailand. PTTEP won production and development rights for the Bongkot and Erawan fields in the Gulf of Thailand in December 2018. Chevron previously operated Erawan, while PTTEP was already the operator of Bongkot. The company was awarded the fields based on its offered gas price of $3.55/mn Btu and profit share terms that were more favourable than those offered by Chevron, says Prateek Pandey, senior up
Also in this section
17 January 2025
Supply glut or supply deficit are both plausible outlooks, with tariffs and sanctions among the key risks that could swing the pendulum
17 January 2025
European Commission is on its way to meeting clean energy goals, but energy security concerns and higher costs may give it second thoughts
17 January 2025
The CEO of QatarEnergy has highlighted the potential impact a new EU directive could have on energy exports to the continent
16 January 2025
The government’s resource nationalism is aggravating the NOC’s debt position and could yet worsen if also tasked with the decarbonisation shift
