Greater Mekong Subregion 5th Meeting of the Subregional Energy Forum (SEF-5) ENERGY SECTOR DEVELOPMENT IN MYANMAR ENERGY PLANNING DEPARTMENT MINISTRY OF ENERGY THE REPUBLIC OF THE UNION OF MYANMAR 11th November, 2011

Country Profile Area - 676,577 km2 Population – about 60 Million Agriculture Country International Border with Bangladesh & India = North-West China = North- East Laos = East Thailand = South-East The Former Capital City = Yangon The New Capital City = Nay Pyi Taw China

Contents of Presentation 1 Contents of Presentation 1. Institutional Framework of Myanmar Energy Sector 2. Primary Energy Resources In Myanmar 3. Myanma Energy Policy 4. Oil and Gas Sub-sector 5. Electricity Sub-sector 6. Coal Sub-sector 7. Renewable Energy Sub-sector 8. Energy Efficiency and Conservation Activities 9. Energy Saving Target by Sub-sectors

1. Institutional Framework of Myanmar Energy Sector (1) Ministry of Energy = Petroleum (2) Ministry of Electric Power No.(1) =Hydropower (3)Ministry of Electric Power No.(2) =Thermal Electric-power + Power transmission and distribution (4) Ministry of Mines = Coal (5) - Ministry of Environmental Conservation & Forestry - Ministry of Agriculture & Irrigation (6) - Ministry of Science & Technology - NGOs Myanmar Engineering Society (MES) = Renewable Energy Renewable Energy Association, Myanmar (REAM) = Biomass &Fuel Wood * Ministry of Energy is a Focal Point of the Myanmar Energy Sector Cooperations

2. Primary Energy Resources In Myanmar 1 Crude Oil(Offshore & Onshore) 204.92 MMBBL(proved) 2 Natural Gas (Offshore & Onshore) 20.14 TCF(proved) 3 Hydro 108,000 MW 4 Coal 711 Million Metric Tons 5 Biomass About 48% of total land area covered with forest 6 Wind 365.1 TWH per year 7 Solar Power 51973.8 TWH per year 8 Geothermal 93 Locations

3. Myanma Energy Policy To maintain the Status of Energy Independence To promote wider use of New and Renewable Sources of Energy To promote Energy Efficiency and Conservation To promote use of Alternative Fuels in household 6

4. Oil and Gas Sub-sector 7

Oil and Gas Bearing Areas of Myanmar SEDIMENTARY BASINS Rakhine Coastal Hukaung Chindwin Shwebo-Monywa Central Myanmar Pyay Embayment Ayeyarwady Delta Bago Yoma Basin Sittaung Valley Mepale Mawlamyine Namyau Hsipaw-Lashio Kalaw Rakhine offshore Moattama offshore Tanintharyi offshore STATUS OF EXPLORATION (Offshore) Thoroughly Explored Basins Rakhine Offshore Moattama Offshore Tanintharyi Offshore STATUS OF EXPLORATION (Onshore) Thoroughly Explored Basins 1. Central Myanmar 2. Pyay Embayment 3. Ayeyarwady Delta (Only Part of the Basin) Explored to Some Extent 1. Chindwin 2. Rakhine Coastal Very Little Explored 1. Hukaung 2. Shwebo-Monywa 3. Bago Yoma Not Explored Yet 1. Hsipaw-Lashio 2. Namyau 3. Kalaw 4. Sittaung Valley 5. Mawlamyine 6. Mepale

ONSHORE & OFFSHORE BLOCKS MAP

Current Offshore Activities The Republic of the Union of Myanmar Operator Company Block TOTAL M-5 , M-6 (Yadana Project) PETRONAS M-12 , M-13 , M-14 (Yetagun Project) DAEWOO INTERNATIONAL A-1 , A-3 (Shwe Project) PTTEPI M-3 , M-7 , M-11 M-9 (Zawtika Project) CNOOC M-10 ESSAR A-2 NGWE M-8 TWINZA OIL (ASIA) LTD. YEB CNPC INTERNATIONAL LTD AD-1, AD-6 , AD-8 MPRL E & P A-6 RIMBUNAN PETROGAS M-1 PetroVietnam+Eden M-2 DAEWOO INTERNATIONAL AD-7 PETRONAS MD-4, MD-5, MD-6 KMDC A-5, A-7, M-15, M-16 The Republic of the Union of Myanmar Blocks Map In offshore area, 28 Contracts are active in 29 offshore blocks with 22 foreign companies.

-Present Oil & Gas Production Onshore Crude Oil 7,600 Bbl/day Natural Gas 75 MMCF/day Offshore Condensate 12,000 Bbl/day Natural Gas 1.2 BCF/day - The Oil & Gas Sector placed as high priority

Natural Gas Export (Myanmar) (BSCF) Sr. No. YEAR YADANA YETAGUN TOTAL 1. 1998-99 30.000 - 2. 1999 -00 148.455 3. 2000-01 233.252 47.920 281.172 4. 2001-02 192.158 75.830 267.988 5. 2002-03 191.625 91.930 283.555 6. 2003-04 190.392 92.339 282.731 7. 2004-05 193.383 108.650 302.033 8. 2005-06 191.120 142.165 333.285 9. 2006-07 236.550 153.277 389.727 10 2007-08 241.732 157.793 399.525 11. 2008-09 198.006 130.167 328.173 12. 2009-10 223.291 150.581 373.872 13. 2010-11 215.192 150.516 365.708 According to the BP Statistical Review,2011,16th Position of the World

CNG / NGV PROGRAMME OF CLEANER FOSSIL ENERGY IN MYANMAR Initiated in Myanmar since 1986. 1986 – August 2004 : - 5 CNG Refueling Stations - - 2 in Yangon City - 2 in Yenangyaung Field - 1 in Chauk Field - 587 NGVs (Converted from petrol buses) CNG / NGV Programme was reactivated in August 2004. 46 CNG Refueling Stations in Myanmar- - 41 in Yangon City - 2 in Mandalay City - about 27,000 NGVs (Converted from both petrol / diesel cars) Future : CNG Refueling Stations will be installed along the existing domestic pipeline corridor. (39) (39)

Myanmar - China Crude Oil Pipeline 781km Myanmar - China Natural Gas Pipeline 870 km Shwe Gas to China in 2013 Zawtika Gas to Thailand SHWE GAS PROJECT

5. Electricity Sub-Sector Electricity Installed Capacity (2011) [MW] Steam

Power Generation by Type Tot: Electricity Generation (GWh) 2005-06 2006-07   2007-08 2008-09 2009-10 2010-11 6064 6163 6398 6621 6964 8624 Hydel 3000 49.5% 3324 53.5% 3618 56.5% 4071 61.4% 5262 75.6% 6189 71.8% Thermal 632 10% 786 13% 855 614 9% 511 7% 641 7.4% Gas 2398 40% 2025 33% 1891 30% 1896 29% 1162 17% 1762 20.4% Diesel 33 0.5% 28 34 40 0.6% 29 0.4% 32

6. Coal Sub-Sector Known reserve 431 Million Tons from 36 Major Coal Deposits. The potential coal resource inferred 711 Million Tons.

Annual Coal Production and Consumption Tons in Thousands Year Production Consumption Export 2000-01 571.14 132.71 401.88 2001-02 631.93 113.00 531.25 2002-03 550.20 120.40 439.87 2003-04 925.42 188.16 737.26 2004-05 992.00 192.12 799.88 2005-06 1182.50 559.20 623.30 2006-07 1313.62 798.41 515.21 2007-08 1117.29 888.70 228.59 2008-09 564.48 521.39 43.09 2009-10 386.74 356.74 30.00

Coal Production Forecast Tons in Thousand Year Production State Owned JV Operation Private 2010-2011 1734.80 48.80 761.00 925.00 2015-2016 2326.00 50.00 1086.00 1190.00 2020-2021 2761.00 1406.00 1305.00 2025-2026 4593.00 55.00 3218.00 1320.00 2030-2031 5654.00 4264.00 1335.00

7. Renewable Energy Sub-Sector Biomass Potential - 48 % of total land area (32.2 million hectares)of Myanmar is covered with forest and widely use as traditional energy source - available annual sustainable yield of woodfuel is 19.12 million cubic ton.

Woodfuel and charcoal are the main sources of Woodfuel and charcoal are the main sources of bioenergy used in Myanamr. About 76% of total population mainly use the woodfuel for cooking and heating purposes. The annual consumption of woodfuel per household is estimated to be 25 cu-ton for rural households and 1.4 cu-ton for urban residents.

Biofuels - Biofuel can be used as an alternative fuel to reduce the dependence on import of liquid fuel - Ministry of Energy issued specifications for Biofuels and take responsibility or monitoring the distributed Biofuels’ specification As per Government’s guidance for development of the Biodiesel production, Jatropha Curcas plants are grown in homesteads and cultivable land to use its oil as alternative fuel - The Government is making arrangement to reduce the CO2 emission by increasing natural gas utilization in Transport Sector by converting Gasoline, Diesel and LPG vehicles to CNG vehicles and also using Biofuels

Bio-fuel Implementation Program The Government laid out - To encourage the use of bio-fuel at national level. To set aside 500,000 acres for Jatropha Curcas cultivation in each State and Division. To start with Jatropha oil blended with diesel for low valued engines in rural area. To encourage the use of locally available raw materials in production of bio-diesel. To encourage establishment of small scale processing plants in rural areas and To implement projects on bio-fuel production with the assistance of FAO, and ASEAN countries. Curcus to carcus 23

8. Some Energy Efficiency and Conservation Activities The Government has initiated “ Dry Day” programme for Government Vehicles at 2nd & 4th Sundays of Every Months Hope to set up EE & C Law Fuel Switching System Substitute MS, HSD & LPG to CNG Substitute Biofuel Curcus to carcus 24

9. Energy Saving Target by Sub-sectors Industrial Sector: Reduce consumption by 10% in 2020 - Develop energy statistics - Promote introduction of equipment and facilities with high energy conservation capacity Commercial/Residential Sector : Reduce consumption by 5%-8% in 2020 - Labelling systems for buildings and appliances - Develop demand-side management programme - Through management of energy and other resources Curcus to carcus 25

- Raise the fuel efficiency in terms of passenger-km and km/liter Transportation Sector: Fuel substitution by biofuel by at least 8% in 2020 - Raise the fuel efficiency in terms of passenger-km and km/liter - Fuel substitution with by biofuel Electricity Sector: 15-20% share of renewable energy to total installed capacity in 2020 - Develop technology transfer and RE knowledge in rural area - Assist sustainable RE application in electricity generation Curcus to carcus 26

THANK YOU FOR YOUR KIND ATTENTION Ministry of Energy Building No.6, Nay Pyi Taw, The Republic of the Union of Myanmar Tel: 95-067-411057 Fax: 95-067-411113 E-mail: myanmoe@ mptmail.net.mm