SET-listed oil and gas driller PTT Exploration and Production Plc (PTTEP) is embarking on a rapid expansion of new resources following recent investments and asset acquisitions.
The strategic plan is meant to capitalise on steadier global oil prices.
Southeast Asia and the Middle East are the two main regions for PTTEP's exploration of new petroleum fields. The company is also accelerating exploration and production activity in existing oil and gas blocks.
Newly appointed chief executive Phongsthorn Thavisin said global oil prices have declined since 2014 but are now stable, affording an opportunity to start exploration and production and open new markets.
For 2019, PTTEP will take part in auctions of oil and gas resources in the United Arab Emirates and Malaysia, while looking for another opening in Oman after failing at an earlier auction.
PTTEP is also awaiting a clear-cut policy from Indonesia on its petroleum fields as concessions expire in the next few years.
"Many countries in the two regions are now welcoming overseas investors," Mr Phongsthorn said.
PTTEP forecasts an average global oil price of US$70 a barrel throughout 2019.
The company will drill nine petroleum fields in 2019, expecting to discover 200 million barrels, mainly in Myanmar and Malaysia.
Production cost in each field will rise to $31-32 per barrel in 2019, up from $30 in 2018, when PTTEP drilled just one field.
Mr Phongsthorn said the new fields are in the development process, with final investment decisions to come in 2019.
The new fields include Mozambique's Rovuma Area 1 for liquefied natural gas (LNG), the Southwest Block in Vietnam, the Hassi Bir Rekaiz project in Algeria and Ubon Contract 4 in the Gulf of Thailand.
Mr Phongsthorn said PTTEP plans to increase sales volume of oil and gas to 320,000 barrels of oil equivalent per day next year, up from 310,000 in 2018, due to full-year operations after acquiring a 22.2% stake in the Bongkot gas block from Shell.
PTTEP also has additional crude production from the onshore S1 oil block, which spans Sukhothai, Phitsanulok and Kamphaeng Phet provinces.
Mr Phongsthorn said PTTEP is looking to acquire petroleum field assets, focusing on projects starting production.
Each project is likely to be worth $500 million to $1 billion.
"The average oil price of $70 per barrel is suitable enough for buyers and sellers, so the acquisition of the new block will be concluded in 2019," Mr Phongsthorn said.
PTTEP has existing gas blocks that have yet to be developed, including Cash and Maple in Australia and KKD Oil Sands in Canada. Plans call for revising the two business models with no commitment to carry on.
PTTEP shares closed yesterday on the Stock Exchange of Thailand at 128 baht, down 2.50 baht, in trade worth 1.55 billion baht.