Shell in Myanmar
Shell is supporting Myanmar turn its exciting energy potential into reality by bringing international expertise and world-class technology to projects in deep-water exploration and natural gas – the cleanest fossil fuel. We are also working with our partners to boost the distribution of our leading lubricant products and are supplying oil products.
Shell holds equity interest in 7 offshore blocks in Myanmar. This acreage offers an exciting frontier exploration opportunity to apply the advanced deep-water technical capabilities we have built up around the world over the past three decades. We are using leading (deep-water) exploration technologies including advanced tools for acquiring, processing and interpreting seismic and other geophysical data. After completing an Initial Environmental Evaluation (IEE), Shell and its partners started the 3D seismic acquisition programme in Q4 2015.
|Block||Shell||MOECO*||Wood Side Energy||PETRONAS||MPEP**||Area Sq km||Approx. water depth m|
* Mitsui Oil Exploration Co.,Ltd. Group ** Myanmar Petroleum Exploration and Production
Note: Shell took over BG’s interest in blocks A-4, AD-2, A7 and AD-5 after the Shell/BG combination materialized on 15 February 2015.
In accordance with Shell standards, international best practices and recently enacted Myanmar legislation, Shell has undertaken social and environmental impact assessments, named Initial Environmental Examinations (IEEs), in preparation for the activities associated with planned oil and gas exploration surveys in Blocks AD-9, AD-11, MD-5, A-4 and AD-02, offshore Myanmar. The IEEs were informed by public consultations in the coastal areas adjacent to the Blocks.
The full reports and executive summaries are available at the links below.
Mr. Graeme Smith (VP Exploration Asia at Shell) and H.E. U Zay Yar Aung (Union Minister for the Ministry of Energy) shake hands in celebration of signing the production sharing contracts between Shell, MOECO and MOGE for deep-water blocks AD-9, AD-11 and MD-5 on 5 February 2015.
Kosuke Onishi (General Manager, Asia Business Division 1, MOECO), Mr. Graeme Smith (VP Exploration Asia at Shell), H.E. U Zay Yar Aung (Union Minister for the Ministry of Energy), U Myo Min Oo (Managing Director, Myanmar Oil and Gas Enterprise) and U Pe Zin Tun (Director General, Energy Planning Department) sign the production sharing contracts in Naypyidaw on 5 February 2015.
Liquefied Natural Gas (LNG)
Together with Italian-Thai Development Public Company limited and LNG Plus International Company Limited, Shell is cooperating on the development of a proposed Liquefied Natural Gas (LNG) receiving and re-gasification terminal in the Dawei Special Economic Zone (DSEZ). Shell provides technical expertise on the development of the LNG terminal and will also have access to terminal capacity and supply LNG to DSEZ customers.
Shell is the number one global lubricant supplier (Kline & Company), delivering market-leading lubricants to consumers in over 100 countries. Shell Lubricants brings world-class technological insights to its products, offering our customers the best lubricant solutions for their applications – from road cars and heavy-duty trucks to manufacturing machinery, construction vehicles and more. Our lubricant products work to clean and protect the engine, help to prolong equipment life, improve performance and contribute to better fuel efficiency. In Myanmar, Shell Lubricant products are distributed by Que Holdings, our partner since April 2013.
Shell Bitumen is one of the world's leading suppliers of bitumen and asphalt solutions, with over 1,600 customers across 28 countries. We supply enough bitumen to resurface 450 lane kilometres of road every day; that's enough road to travel around the world four times in one year; or one lane-kilometre of road every four minutes.
On May 26, 2016, Shell Bitumen signed a Memorandum of Understanding (MOU) with National Infrastructure Holdings Corp, Ltd (NIHC) to pursue opportunities to supply its bitumen products and solutions into Myanmar. To showcase Shell's superior technical expertise and commitment to quality assurance, Shell and NIHC completed a 5 km road trial project along Pyinmana Myo Shuang Road, near Nay Pyi Taw Airport. The pavement design was overseen by Shell Bitumen technical experts and used bitumen sourced from Shell's facility in Pulau Bukom, Singapore.
Investing in communities where we operate – called social investment – is an important part of being a good neighbor. We invest in projects that aim to benefit local communities over the long term. Our social investment programme in Myanmar focuses on the following topics:
Access to Energy
At Shell, we are able to use our core business skills and technical resources to play an active role in improving communities’ access to energy, particularly in countries where we work – such as Myanmar. Together with our NGO partner Pact, we expand electricity access to rural and coastal communities in the dry zone and Tanintharyi region by building up community governance structures, consumer finance mechanisms and providing technical support.
Community Skills & Enterprise development
Shell has programmes in place to support and encourage the building of new businesses and generate local employment. In Myanmar, for example, together with our NGO partner Mercy Corps, we are implementing a market-driven agricultural development programme in Rakhine State that seeks to promote a private sector-led approach to food security. And - together with our partner Montrose- we are implementing a programme to improve the livelihoods of the rural population living in Manaung Township through increasing farmers’ incomes with improved production practices, specifically in the coconut copra and groundnuts value chains. To support value chain strengthening, the pilot also aims to improve irrigation practices and market linkages.
Environment Protection & Water Resource Management
In support of TU Delft in The Netherlands and the Government of Myanmar’s efforts to establish an Integrated Water Resources Management Program (IWRM) to build government capacity in water management and flood control, Shell and TU Delft signed a 4-year agreement which commits both parties to the establishment of a Scholarship Trust. The PhD scholarship programme started in 2014 and supports two Myanmar students.
News and Press releases
Shell signs contracts to explore in deep water offshore Myanmar
BG Group signs Production Sharing Contract in Myanmar
Shell signs agreement to develop LNG terminal and supply LNG to Myanmar
Shell and NIHC completes road trial project
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