The oil and gas sector is very key to the future development of the Myanmar state. Notably, the sector has more than 100 years of history but also has a potentially bright future. However, the oil and gas sector was derailed by the 15 years of military rule that ended in 2010. Since the entry of the new government, Myanmar has experienced tremendous changes in the energy sector. As of June 2018, Myanmar oil and gas sector has attracted more than $ 22.4 billion direct foreign investment.
Although many people in Myanmar are optimistic that oil and gas reserves will continue to increase in the future, there are still some uncertainty levels. The unclear and volatile legal system poses a challenge to foreign investors since oil and gas projects involve huge investments. Uncertainty is further contributed by inadequate coordination between various ministries in the government related to oil and gas.
Foreign investors need to be aware that various Myanmar entities must review and approve oil and gas-related investment. Some of these entities include the Ministry of Finance, Myanmar Investment Commission, Ministry of Environmental Conversation and Forestry, Myanmar Oil and Gas Enterprise, and the Ministry of National Planning and Economic Development. Although Myanmar oil and gas faces several challenges, recent economic and political development combined with the country’s abundant natural sources makes it the most promising country for foreign investment.
To expand its oil and gas sector, Myanmar has partnered with a private sector company. Elite Petrochemical is one of the companies that has taken that advantage by investing heavily in oil and gas products. The company, a member of Ayer Shwe Wah Group, was able to launch its first terminal in Thilawa Special Economic Zone in May 2018. Elite Petrochemical receives its oil and gas imports at its first phase terminal, which is now complete. The Elite Petrochemical imports are estimated to be about 4000 of LPG per month. Moreover, the company has invested heavily in a storage tank, transportation trucks, and gas cylinder filling point. Consequently, if you plan to invest in LPG gas for use at your restaurant or home, Elite Petrochemical products are the best for you.