Yangon, June 11 (IANS) A contract has been inked on exploring gas at an onshore block in Myanmar, official media reported.
Under the production sharing contract, signed among state-run Myanmar Oil and Gas Enterprise, Singapore's Istech Energy EP-5 Pte Ltd and Myanmar private-owned Smart Technical Services Limited, exploration will be made onshore at block EP-5 in Inpin Tegyigon area, reported Xinhua.
It is the sixth contract of its kind reached after Myanmar's energy ministry invited international tenders for exploration on 18 inland blocks nearly a year ago.
Foreign companies have long been engaged in Myanmar's 49 inland blocks and 26 offshore blocks in Mon, Taninthayi and Rakhine regions or states since 1988.
The companies are from Australia, Britain, Canada, China, Indonesia, India, South Korea, Malaysia, Russia, Singapore, Thailand and Vietnam.
Myanmar has abundant natural gas resources especially in the offshore areas. With three main large offshore oil and gas fields and 19 onshore ones, Myanmar has proven recoverable reserve of 18.012 trillion cubic feet (TCF) out of 89.722 TCF's estimated reserve of offshore and onshore gas, experts said.
The country also has an estimated 3.2 billion barrels (159 litres to a barrel) of recoverable crude oil reserve, official statistics indicate.
Myanmar's natural gas export fetched $2.947 billion in the first 11 months of the fiscal year 2011-12, up about $424.77 million from $2.522 billion in fiscal year 2010-11, according to official statistics.
The statistics also reveal that foreign investment in Myanmar's oil and gas sector had reached $13.815 billion in 104 projects as of the end of November, 2011, accounting for 34.18 percent and standing the second in the country's foreign investment sectorally after electric power.