The Petroleum Institute of Thailand is pushing energy and foreign affairs authorities to engage in talks with Cambodia on joint petroleum production in the overlapping claims area (OCA), as there has been no progress on the issue since early this year.
After Cambodian Prime Minister Hun Manet visited Thailand in February, there have been no proposals for further talks, according to a source at Government House who requested anonymity.
Following the visit, Bangkok and Phnom Penh agreed to resume talks on the OCA, which have stalled since the issue was raised in 2001.
If Thailand and Cambodia work together to ensure successful negotiations, they will have access to a new energy source that can provide energy security for both countries, said Kurujit Nakornthap, executive director of the Petroleum Institute of Thailand.
The OCA, which is claimed by Thailand and Cambodia, is likely to be a new petroleum source because the site is near the Bongkot and Erawan gas blocks in the Gulf of Thailand, according to the Department of Mineral Fuels.
Mr Kurujit believes the disagreement on maritime territories between Thailand and Cambodia can be addressed through negotiations.
Thailand previously had a similar territorial dispute with Vietnam. The problem was settled in August 1997, paving the way for the development of offshore gas production five years later, he said.
"The same success may occur, depending on authorities' determination to seriously push for talks with Cambodia," said Mr Kurujit.
He said he believes the development of a new petroleum production facility in the OCA will not be time-consuming because infrastructure has been in place since Thailand discovered gas in the gulf.
Thailand has not developed a new oil and gas field for more than 15 years, raising concerns over declining domestic gas supplies, which will force the country to import more liquefied natural gas (LNG).
Gas makes up 60% of the fuels used to generate power in Thailand.
If Thailand's dependence on LNG imports increases, it will encounter price fluctuations in the spot market, eventually driving up electricity prices in the country.
The Russian invasion of Ukraine in 2022 caused global oil and gas prices to skyrocket, leading Thai authorities to spend a huge amount of money to tame the surge in power bills.
According to PTT Exploration and Production Plc, if gas is discovered at the OCA, its prices should not differ much from gas prices of other sources in the gulf, which are US$5-6 per million British thermal unit (BTU) on average.
During the second and third quarters of this year, LNG prices in the spot market are expected to range from $9 to $13 per million BTU.
In 2022, imported LNG was priced at $34 per million BTU on average.