PTT Exploration and Production (PTTEP), Thailand's sole SET-listed upstream petroleum company, denies transparency and bribery allegations related to its acquisition of MD7 and MD8 blocks in Myanmar.
Chief executive Tevin Vongvanich responded yesterday to a report on the Myanmar Times website by saying PTTEP has a policy of not paying bribes in exchange for exploration and production licences, including MD7 and MD 8 in Myanmar's Martaban Sea.
"We are a publicly listed company with a lot of auditors such as the Office of the Auditor-General of Thailand, as well as shareholders and the Securities and Exchange Commission," said Mr Tevin.
"We strictly adhere to transparency when doing business. It is easy to audit us and examine how the company operates."
The two blocks in the Gulf of Martaban sit adjacent to Thailand's marine territory, where PTTEP also has exploration licences in deep-sea blocks of the Andaman Sea.
"We talked to the Myanmar government for many years, and have yet to start drilling in the two blocks, so we don't know if we will find gas, oil or anything," he said.
Direct negotiations for both blocks started in early 2010 before the current offshore exploration block bidding round. Earlier this year, the Myanmar cabinet granted exploration rights for those deep-water blocks to PTTEP.
Energy Minister Pongsak Raktapongpaisal also denied the bribery allegation. "PTTEP is majority-owned by the state-owned company PTT. We would not let this happen," said Mr Pongsak.
PTTEP produces gas from Myanmar's Yadana and Yetakun blocks with a combined output of 1.1 billion cubic feet per day.
It also has a production licence for the Zawtika block (M9), which is expected to produce its first gas later this year.
Shares of PTTEP closed yesterday on the SET at 160.50 baht, up five baht, in trade worth 767 million baht.