General – Middle East Crisis
In response to deteriorating regional security in the Middle East following a US and Israeli attack on Iran, Thailand’s Ministry of Energy has called on oil and gas operators to support national energy security.
The country is heavily reliant on imports, sourcing over 90% of its daily crude oil requirements from overseas, predominantly from the Middle East.
Valeura Energy, an independent operator of fields offshore Thailand, has acknowledged the ministry request that includes postponing planned production facility downtime and temporarily suspending crude oil exports.
The company is seeking clarification to ensure compliance, but anticipates no interference with its ongoing operations, with production continuing as usual.
Valeura noted that approximately one-third of its crude production is typically sold domestically and expressed confidence in the local market of refiners and blenders for its crude streams.
The company stated it is well-versed in such requests, which Thailand has issued in the past during geopolitical developments, and intends to comply.
The government’s action aims to temporarily mandate that domestically produced petroleum remains within Thailand.
In addition to Valeura, national upstream company PTTEP has vowed to safeguard energy security. PTTEP has undertaken preparatory measures, such as maximizing natural gas production in the Gulf of Thailand and adjusting planned maintenance shutdown schedules, to maintain the continuity of domestic petroleum supply and mitigate potential impacts on the public and industrial sector.
