China, Myanmar, S. Korea sign new gas sales and purchase deal

Dec. 29, 2008 (China Knowledge) - China National United Oil Corporation (CNUOC) signed gas sales and purchase agreement with Myanmar Oil and Gas Enterprise, and a consortium led by the Daewoo International Group Corp to deal with the Shwe project, sources reported.

According to the 30-year agreement, the gas produced from the Shwe Field off Myanmar's Rakhine coast will be exported to China's southwestern region. The gas pipeline which goes through Myanmar is expected to promote the economic development of the region.

The project is expected to start supplying gas in 2013.

Shwe field has an estimated gas reserve of 4 trillion to 6 trillion cubic feet or 113.2 billion to 170 billion cubic meters.

Daewoo International is mainly responsible for the transportation of A1 and A3 oil and gas fields in Myanmar, said CNUOC on Thursday.

Myanmar owns rich gas resources with 3 main large offshore oil and gas fields as well as 19 onshore fields.