Listed on the London Stock Exchange, Jubilant Energy (JUB.L) officially won an onshore exploration block in Myanmar (block no. PSC-I) after a bidding round took place in 2011, through an agreement that was officially signed today. Primarily focused in India, where the company has 9 blocks, the addition of a Myanmar block brings Jubilant's international portfolio to a total of three countries (the third being an additional block in Australia). Upon signing the agreement, Jubilant retains 77.5% participating interest, held under its subsidiary Jubiliant Oil & Gas Ltd., and will act as operator on the block. The property is shared, with Parami Energy Development Company Ltd holding the remaining 22.5% interest in the block. Located approximately 125 km to the northwest of Yangon City, the block is comprised of approximately 3,600 sq km in what is being described as highly prospective acreage.
Upon the announcement, it was also indicated that a production sharing contract for the block has been signed between Jubliant, Parami and the Myanmar state-owned Myanma Oil & Gas Enterprise.
The block was one of 10 onshore oil and gas blocks that were open for bidding through the country's largest energy tender in recent years. Of the 10 that were offered in the bidding, Jubilant had bid on two, but only received one. This did not hamper the mood of the Jubilant management team.
“Jubilant will utilise its in-house expertise as operator of our Tripura, Manipur and Assam blocks, which are geological and tectonically similar in set-up to our newly awarded block,” said Ajay Khandelwal, CEO of Jubilant. “The Central Burma basin of Myanmar is rich in oil and gas resources with discoveries and production dating back to 1887 and the early 90's.”
Jubilant Energy N.V. (Jubilant) is an upstream oil and gas company with assets in major proven and prolific hydrocarbon basins in India. The Company has a diversified and balanced portfolio comprising of nine blocks in India, of which one is a producing field, one under appraisal and development and rest of the blocks are in various stages of appraisal and exploration. It also has interest in one exploration block in Australia. Jubilant’s portfolio is located in the proven and prolific hydrocarbon basins of Krishna Godavari, Assam-Arakan, Cambay and Cauvery in India and the Bass basin in Australia. The Kharsang Field, located in the Upper Assam basin in the north-eastern region of India. The block is operated by Geo Enpro Petroleum Ltd and Jubilant has a 25% working interest. The field has 56 wells, of which 32 wells were in production as of March 31, 2011. It holds two Manipur Blocks as an operator with a 100% participating interest under the NELP-VIII round.