India-invested gas blocks in Myanmar have big reserve

Two gas blocks in Myanmar, which India holds stake, were proven to have a reserve of 161 to 283 billion cubic meters, GAIL (India) Ltd said Wednesday.

Indo-Asian News Service quoted the GAIL source as saying that the commercial gas production of the two blocks is expected to start in mid 2010 with a production of 16 million cubic meters a day.

The state-owned GAIL holds 10 percent stake of the blocks while ONGC Videsh, another state-owned firm, holds 20 percent. The other owners are Daewoo International Corporation and Korea Gas Corporation (KOGAS).

Gas has been struck so far in three fields, Shwe and Shwe Phyu in Block A-1, and Mya field in Block A-3.

The feasibility study for field development showed that the three fields can produce about 16 million cubic meters of gas daily for 20 to 25 years.

GAIL is studying how to ship gas from the two blocks to India. One of the proposed solutions is to build a pipeline from Myanmar to northeast India bypassing Bangladesh.

Source: Xinhua