Tue 27 Feb 2007
Filed under: Business / Trade,News
Military-ruled Myanmar has awarded another contract to South Korean conglomerate Daewoo International Corp to explore for natural gas in the Gulf of Bengal, state media said Tuesday.
The new contract is to explore in a block of deep water off Myanmar’s Arakan coast, the official New Light of Myanmar newspaper said.
The new exploration will take place in waters next to a block where Daewoo has already found estimated reserves of 5.7 to 10 trillion cubic feet of natural gas.
The official newspaper gave no other details of the deal, which follows a raft of hotly contested contracts awarded to other international companies over the last two months.
Myanmar’s natural gas wealth has become an increasingly important source of desperately needed foreign currency for impoverished country and its military government.
According to 2006 official figures, 13 foreign oil companies are working on 33 projects in Myanmar.
Neighbours like China, India and Thailand are all eager to tap Myanmar’s energy resources to feed their own growing economies.
Critics complain that the deals provide a lifeline to a regime that is under US and European sanctions over alleged rights abuses and the detention of pro-democracy leader Aung San Suu Kyi.