Tuesday, July 25, 2017

Singapore’s MOSB to become first foreign oil and gas supply base in Myanmar

Myanmar Offshore Supply Base (MOSB), a Singapore company, on July 11 received the green light from the Myanmar Investment Commission (MIC) to construct an oil and gas supply base in Mon State. It will be the first foreign-run oil and gas supply base in Myanmar.

Residents should benefit from MOSB’s oil and gas supply base in Mon State. Photo - EPAResidents should benefit from MOSB’s oil and gas supply base in Mon State. Photo - EPA

The project, which covers an area of over 193 acres onshore including some 46 acres of prime river front land, will provide a wide range of support services to the oil and gas operators in the waters off the coast in the Bay of Bengal.

“We are now doing a feasibility study and understanding the requirements of the oil and gas industry in Myanmar. We will build according to the demands required to support the fast-growing oil and gas industry,” MOSB chair Leonard Oh told The Myanmar Times.

The base is also expected to provide necessary support in the form of healthcare infrastructure, education and employment in the region.

While it is the first foreign supply base, MOSB is actually the second such project in Myanmar. The first supply base is now being constructed by Myanmar oil and gas service provider Myint & Associates in Nga Yoke Kaung Bay area in Ayeyawady Region.

Myint & Associates has estimated that it will invest some US$50 million in the initial phase of the project. It is expected to generate K25 billion in state revenues during the first 10 years of operation. The facility is expected to be ready in 2019.

Translation by Zaw Nyunt