Thailand Pursues Myanmar Gas Deal, Eyes New A6 Field
Thailand is renewing natural gas contracts with Myanmar and preparing to develop the A6 petroleum field to diversify energy sources and reduce electricity costs. The neighboring country has supplied 15-20% of Thailand's natural gas for near
Thailand is moving forward with Myanmar gas contract renewals and preparing to finalize a deal on the new A6 petroleum field to diversify energy sources and strengthen long-term energy security while reducing electricity cost risks.
Government spokesperson Ratchada Thanadirek stated that the government places importance on maintaining relations and cooperation with neighboring countries. In the case of Myanmar, ties extend across economics, security, environment, and energy. Ongoing energy cooperation has been vital to Thailand's energy security and production cost management.
Recently, Energy Minister Eknath Prom-Phand and relevant agencies met with Myanmar's Minister of Electricity and Energy, Ko Ko Lwin, to advance bilateral energy cooperation, particularly in natural gas exploration and production, gas trading, and power grid interconnection.
Thanadirek noted that Myanmar has been a major natural gas source for Thailand for nearly 40 years. Gas from the Yadana and Zawtika fields once accounted for 15-20% of Thailand's natural gas consumption and remain critical for electricity generation, industry, and economic activity. Continued bilateral cooperation is therefore essential.
During the discussions, the two sides considered renewing contracts for maturing gas fields and explored investment in new petroleum sites, including the A6 field, which has the potential to produce and pipeline gas to Thailand. This expansion of energy options reduces the risk of over-dependence on any single source. A new energy Memorandum of Understanding will be prepared to outline the framework for future cooperation.
"Relations with neighboring countries are not remote from ordinary people," Thanadirek said. "Natural gas is one of Thailand's primary fuels for electricity generation. Having sufficient, continuous, and more diverse energy sources allows the country to better manage energy risks and costs, which directly affects electricity prices, production costs, and Thailand's competitive advantage. It also supports long-term energy security for the ASEAN region."
