The Ministry of Energy is preparing to open a bidding round for the right to explore and produce petroleum in three offshore exploration blocks in the Gulf of Thailand: Exploration Block Nos. G1/65, G2/65, and G3/65. Announced in April 2022 with an eye toward national energy sustainability and security, this is the first opportunity for exploration of new offshore areas in 15 years.
The total area of the three exploration blocks is 35,164.01 square kilometers, and operations in the exploration blocks will be subject to the terms and conditions of the required production sharing contract (PSC). Under the PSC, the Thai government is entitled to receive royalty payments against profits, any applicable cost recovery, and profit petroleum. The government also has the authority to monitor the petroleum operations in collaboration with the successful bidder.
On July 27, 2022, the Department of Mineral Fuels (DMF) held a conference for prospective investors in order to clarify general information regarding the petroleum bidding round. Currently, interested investors can request the right to enter the bidding-round data room located at the DMF by emailing dataroom@dmf.go.th by September 2, 2022.
To participate in the bidding round, interested investors must submit an application together with required documents to the DMF during the period of September 5–16, 2022.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
