PTT Exploration and Production Plc (PTTEP) has announced an investment worth US$29 billion over five years to strengthen the nation’s energy security and combat global warming.
The budget spent between 2023 and 2027 will consist of $18.1 billion in capital expenditures and $10.9 billion in operating expenses.
PTTEP aims to increase oil exploration and production, reduce greenhouse gas emissions and diversify into new businesses, said Sumrid Sumneing, executive vice president of finance and accounting.
The company is moving toward sustainable operations and plans to reach net zero by 2050, the balance between greenhouse gas emissions and removals.
Next year, we plan to spend $3.1 billion on capital expenditures and allocate $2.3 billion to operating expenses.
In 2023, PTTEP plans to maximize oil production at the facility to ensure Thailand’s energy security.
Oil will be sourced primarily from the Erawan, Bonkot and Arthit gas fields in the Gulf of Thailand and other sites, including Malaysia.
Sumrid said the company is also accelerating work on projects currently in development. This includes the Malaysia SK410B project and the Mozambique Area 1 project. These projects require a capital investment of $322 million.
The company will spend $193 million on geological exploration and drilling oil exploration and evaluation wells in Thailand, Malaysia and Oman.
PTTEP expects average oil sales from 2023 to 2027 to be 470, 510, 535, 531 and 550 kbbl of oil equivalent per day respectively.
The company also plans to spend $2.6 billion next year on plans to reduce its greenhouse gas emissions. The company wants to reduce emissions, especially carbon dioxide, by 30% by 2030 and 50% by 2040.
This reduction is achieved in a variety of ways, including carbon capture and storage facility projects, increased use of renewable energy, and installation of equipment to reduce greenhouse gas emissions.
From 2023 to 2027, PTTEP will spend $4.8 billion to support new businesses, including hydrogen fuel development. The aim is to help governments build a low-carbon society.