Energy Sector: Production Sharing Contract signed for oil exploration

Myanma Oil and Gas Enterprise and Myanmar Kinsanar Co., Ltd. signed the Memorendum of Understanding (MOU) on production sharing contract on Wednesday.

Union Minister for Energy U Ko Ko Lwin attended the ceremony, and made an opening speech, before witnessing the signing of the contract. According to the MOU, oil exploration in the Area-2 of Inland Plot IOR-6 in Myanmar area will be accelerated.

This is the second granted inland plot in Myanmar area. The first inland plot was granted to the local oil company in October 2024, and it has been generated natural gas, contributing to electricity supply in the region. The newly granted plot is located the area between Bago and Ayeyawady Regions, partly included in the Pyay Sub-Basin.

It is expected to generate crude oil to be used in producing fuel, contributing to keeping abreast with international oil companies, increased investments in oil exploration, creating employment opportunities and efficient use of energy resources.