Chevron Thailand Exploration and Production Ltd plans to invest up to 100 billion baht this year in several projects in the Gulf of Thailand despite relatively low oil prices.
Steve Green, president of Chevron Asia Pacific Exploration and Production, said he sees investment in both Thailand and the Asean region as part of the company's long-term business.
He said such investment must be carried out with continuity, regardless of oil price performance.
"Oil prices move through cycles, rising and falling," Mr Green said. "Investment, however, needs to be done continuously."
His comments came in the run-up to bidding on new concessions for the Erawan and Bongkot petroleum blocks in the Gulf of Thailand. The bidding is expected to open by the second quarter of next year.
Chevron Offshore Exploration and Production now operates the concession for the Erawan block (B10-B13), scheduled to expire in 2022. The concession for the Bongkot block (B15-B17), operated by PTT Exploration and Production Plc, is set to expire in 2023.
Concessions for the two gas blocks had expired after 20 years of operations but were renewed for an additional 10 years to 2022-23.
Chevron and a partner plan to spend up to 100 billion baht on Thai projects.
"For the projects we are operating in the Gulf of Thailand, I insist that we will continue them as major investments in our portfolio," Mr Green said. "We do not have any plans to leave Thailand."
He said the company would continue to drill 300-400 appraisal wells a year in order to maintain gas production capacity.
The company's natural gas production accounts for about half of total gas production in Thailand, he said.
Regarding recent layoffs, Mr Green reiterated that they did not signal the company's withdrawal from Thailand, though Chevron has had to make adjustments to balance its business.
Chevron announced in June that it would lay off 800 workers in Thailand.
Mr Green said Chevron still employs 1,600 people in the country, 94% of whom are Thai. The company also uses 1,300 subcontractors.
Apart from Thailand, Chevron is also keen to invest elsewhere in Asean, especially Myanmar.
"Looking at Chevron's business around the world, I see great opportunities and strong potential in this region," Mr Green said.