PTTEP, Petronas Ink 35-Year Malaysia-Thailand Gas Deals

(Credit: PTTEP)

Thailand’s state-backed energy firm PTT Exploration and Production (PTTEP) subsidiaries and Petronas Carigali's PC JDA have signed a 35-year production sharing contract for Block A-18-01 in the Malaysia-Thailand Joint Development Area, allowing the partners to continue petroleum exploration, development and production from the block.

PTTEP JDX Thailand (JDA) Limited and PTTEP JDX Thailand, together with PC JDA, entered into the production sharing contract with the Malaysia-Thailand Joint Authority (MTJA), with PTTEP and PC JDA each holding a 50% participating interest.

PTTEP, MTJA and PC JDA also signed a gas sales agreement for Block A-18-01 with buyers PTT Public Company Limited and Petroliam Nasional Berhad (Petronas).

Both agreements have 35-year terms effective from January 1, 2026.

The production sharing contract covers the original Block A-18 area as well as an additional area. Block A-18-01 has natural gas production capacity of approximately 300 million to 400 million standard cubic feet per day, with output supplied equally to Thailand and Malaysia.

Gas delivered to Thailand accounts for about 4% of the country's natural gas demand and is primarily used for power generation in southern Thailand.

Located in the southern Gulf of Thailand, Block A-18-01 covers approximately 3,494 square kilometers and produces natural gas and condensate for Thailand and Malaysia.