Kuala Lumpur: Cambodia’s Ministry of Mines and Energy is considering developing a national oil company.
According to Meng Saktheara, a spokesperson from the ministry, the Ministry of Mines and Energy has been working with the Finance Ministry to assess the risks of setting up a government owned oil company.
“If the company is established, the company would play the role of a body that invests money in the oil and gas industry,” Saktheara said, adding that the company would also engage in joint ventures with foreign companies.
The ministries are still looking into whether the national oil company would be involved in oil and gas exploration, the import of petroleum for reserves, or both.
A new draft petroleum law is also currently in the making by the government.
Cambodia’s most significant offshore oil reserves are in Block A, offshore Sihanoukville, which are believed to have the potential to yield as much as 10,000 barrels per day. Singaporean oil and gas company KrisEnergy bought a 30% stake in the block from Chevron last year. KrisEnergy now holds a controlling interest of 52.25% in the block. The Cambodian government holds a 5% stake in the block.