In Thailand, Chevron's downstream business is conducted through our subsidiary Chevron (Thailand) Limited. Chevron explores for and produces oil and natural gas through our subsidiary Chevron Thailand Exploration and Production, Ltd.
Exploration and Production
In 1981, 10 years after the discovery of the first commercial natural gas field in the Gulf of Thailand, Chevron's Erawan Field began production. Since then, natural gas has become the major source of energy for electricity generation in Thailand. The discovery also led to the development of the country's petrochemical industry.
In the Gulf of Thailand, Chevron operates several blocks in the Pattani Basin, with ownership interests ranging from 35 percent to 80 percent. In the Malay Basin, Chevron has a 16 percent nonoperated working interest in the Arthit Field. Net average daily production in 2012 was 67,000 barrels of crude oil and condensate and 1.1 billion cubic feet of natural gas.
In 2011, first production was announced at the 69.9 percent-owned and operated Platong II project.
All the natural gas and condensate Chevron produces for Thailand is sold to PTT Public Company Limited (PTT), the national oil company of Thailand. The natural gas primarily is used to generate electricity, fulfilling about 40 percent of the country's demand for natural gas. The remainder is used for industrial fuel, transportation fuel and petrochemical feedstock. The gas is transported via PTT's subsea pipelines to the gas separation plants in the Map Ta Phut Industrial Estate, on the eastern seaboard.
In 2012, 12 wellhead platforms were installed and 325 development wells were drilled in the Pattani Basin. Also that year, four wellhead platforms were installed and 43 development wells were drilled at the Arthit Field.
The design concept for the Ubon project includes wells and facilities to develop resources in Block 12/27. The project is expected to move into the front-end engineering and design phase in the second half of 2013.
In 2012, we drilled six exploration wells in the operated areas of the Pattani Basin. Four were successful. Six exploration wells were drilled in the Arthit Field. Five were successful.
In the Thailand-Cambodia Overlapping Claim Area, Chevron holds operated interests ranging from 30 percent to 80 percent in six blocks. As of early 2013, these areas were inactive pending resolution of border issues between the two countries.
Marketing and Retail
Chevron's Caltex® brand operates a network of more than 400 service stations in Thailand. Our operations also include two product pipelines that serve Bangkok and areas to the north and a partnership in a consortium that supplies aviation fuel pipeline and terminal services to Bangkok International Airport.
Chevron holds a 64 percent interest in the 130,000-barrel-per-day refinery at Map Ta Phut. The facility is one of our core refineries and supplies the Pacific Basin with refined fuels. Construction continued on modifications to meet regional specifications for cleaner motor gasoline and diesel fuels. The project is scheduled for completion in 2012.
In Ratchaburi, Chevron has a 50 percent interest in Tri Energy Company Ltd.'s power plant. The state-of-the-art combined-cycle facility uses clean-burning natural gas to help meet Thailand's demand for electricity.
Updated: April 2013
Cautionary Statement