Bids for oil concessions deferred by three months
The Mineral Fuels Department has decided to put the opening of bidding for the 21st round of petroleum exploration concessions on hold for at least three months, as it wants to review details in regard to public information and participation before seekin
Director-general Songpope Polachanral said yesterday that the agency wanted to ensure the plan was clear when it came to the public being informed about oil exploration concessions.
The aim is to avoid a similar misunderstanding to what happened in the case of exploratory drilling by Mitra Energy Ltd, a Thai unit of the UK-based oil and gas exploration firm Mitra Energy, in Bangkok’s Thawi Watthana district.
He added that the department would now inform in writing the governors of provinces containing targeted areas for exploration concessions under the 21st round.
“As a result, the announcement of bidding for the 21st round of petroleum concessions will be delayed by three to four months from the previous schedule of June,” said Songpope.
The 21st round encompasses 22 fields, of which 17 are onshore and five are offshore. Of the onshore fields, 11 are in the Northeast and six are in the Central region. None of these fields is in a “green” area or community area.
Meanwhile, exploratory drilling since March 9 in the concession area granted to Mitra Energy in Thawi Watthana has found no petroleum at a depth of 1,740-2,360 metres, the agency chief said.
The company will, therefore, remove all equipment and its drilling station from the area, a process that is expected to be completed by Monday.
“The absence of petroleum has resulted in the company losing more than Bt100 million,” he added.
