In a statement Daewoo International Corp’s Myanmar Exploration and Production MD Yang Su-Yeong said, ““The consortium expects to spend between US$60 and US$80 million for six appraisal wells started in January and two test wells in the block, which [are] estimated to hold reserves of four to six trillion cubic feet. Another eight wells in the A-1 Block [will] be drilled in mid-October.”
“If we find at least eight trillion cubic feet of natural gas reserves we will build an LNG plant. If no more reserves [are] found, gas from the field [will then] be supplied to India by pipeline,” added Yang.
The Myanmar government, represented by Energy Minister Than Htay, had earlier declared the partners in the A-1 block were keen to build a 3 million tonnes per annum LNG terminal in 2005 for completion in 2007.
Daewoo has a 60% stake in the block and is the operator. The other partners are Oil and Natural Gas Corp (20%), Gas Authority (India) Ltd (10%) and Korea Gas Corp (KOGAS).
