Logo of Phnom Penh Post newspaper Phnom Penh Post - Thailand urged to talk after oil strike

Thailand urged to talk after oil strike

Thailand urged to talk after oil strike

Asenior Cambodian government official has called for

urgent talks with Thailand to settle the issue of the two country's maritime

boundaries following the discovery of local offshore oil.

"As the Kingdom

of Cambodia we are preparing all the documents to discuss overlapping areas - we

want to move as soon as possible.

We are getting technical advice from

various sources," Under-Secretary of State for Industry, Mines and Energy Nhep

Bunchin said.

The Japanese consortium Campex struck oil in Block Three

with their test well Apsara 1, about 155 km southwest of Sihanoukville in the

Gulf of Thailand.

Bunchin said news of the preliminary find had sparked a

rush of proposals from oil explorers "now watching Cambodia like a

eagle."

Both countries now had "overlapping claims" to the prospective

lease areas, he added.

Bunchin hoped oil production could get under way

by the year 2000 or even earlier and said a priority for the government would be

to build a new oil refinery in Sihanoukville.

Two or three companies have

been short listed to build a small-capacity refinery of 10,000 barrels per day

for an estimated cost of $200 million. Malaysia's Petronas company and the

Petroleum Authority of Thailand were good examples for Cambodia to study, he

said.

Oil industry analysts have however questioned the economic wisdom

of Cambodia building its own refinery, when the region already has an over

capacity of such facilities.- Reuters

MOST VIEWED

  • Malaysia MP accused of ‘influencing law’

    Malaysian Member of Parliament (MP) Larry Sng arrived in Siem Reap early on Wednesday, in what was slammed by one NGO as efforts by Kuala Lumpur to “influence Cambodian law”. The Malaysian Embassy in Phnom Penh requested on January 30 “cooperation from the Ministry of Foreign

  • Ministries begin measures to offset EU’s EBA decision

    In the wake of the EU’s controversial announcement this week that it has begun the withdrawal process for Cambodia’s Everything But Arms (EBA) preferential agreement, government ministries and political analysts continued to share their reactions and economic mitigation plans in preparation for the

  • Emirates launches route connecting Phnom Penh, Bangkok

    Emirates will launch a daily service on June 1 linking Phnom Penh (PNH) and Bangkok (BKK). The service from Phnom Penh to Dubai, via Bangkok, will provide more flight options to passengers travelling between the capitals of Cambodia and Thailand. Travellers from the Southeast Asian nations

  • US Embassy urged to stop ‘disrespecting sovereignty’

    The Ministry of Foreign Affairs and International Cooperation called on the US Embassy in Phnom Penh on Saturday to respect the Vienna Convention on Diplomatic Relations after it called former opposition leader Kem Sokha “an innocent man” – a move deemed to be “disrespecting Cambodia’s