PTTEP remitted payments of 54 billion baht to the government in 2023

Editorial staff
PTTEP / petroleum exploration

PTTEP remitted payments of 54 billion baht to the government in 2023

PTT Exploration and Production Plc (PTTEP) remitted payments of 54.28 billion baht to the government, while the dividend payment for 2023 was approved at 9.50 baht per share.

Montri Rawanchaikul, chief executive officer of PTTEP said the company remitted payments of 54.28 billion baht to the government. He said for the 2023 financial performance, PTTEP generated a total revenue of 315.21 billion baht, decreasing by approximately 6% from 2022. The average sales volume reached 462,007 barrels of oil equivalent per day (BOED), which is on par with the sales volume in 2022, while the average selling price dropped by 10% to US$ 48.21 per barrel of oil equivalent (BOE) following a decline of global crude price.

However, the company recorded significantly lower non-operating expenses, including oil price hedging and impairment charges. This resulted in a net profit of 76.70 billion baht, around 40% of which was from the business expansion in Southeast Asia and the Middle East over the past years.

Based on the performance, board of directors proposed the 2023 dividend payment of 9.50 baht per share, amounting 37.71 billion baht or 48.9% payout ratio. The interim dividend for the first six-month operating results at 4.25 baht per share was paid on August 29, 2023, while the remaining dividend will be paid at 5.25 baht per share on April 22, 2024,

The net profit will be used for investment in 2024 under planned budget of 230.19 billion baht. The budget is set to invest in oil and gas as well as clean energy projects to support current energy demand and ensure energy security for the future.

Key projects include production ramp up at G1/61 Project (Erawan, Platong, Satun, and Funan fields) to 800 million cubic feet per day in April 2024, and the plan to maintain gas production from G2/61 Project (Bongkot field), Arthit Project and Malaysia-Thailand Joint Development Area Project. PTTEP will also accelerate petroleum exploration in Thailand and overseas to support future energy demands.

This year, the company aims to increase petroleum production by approximately 9% to 505,000 BOED. In addition, a provisional budget of 67.82 billion baht (equivalent to US$ 2.02 billion) is set aside for the years between 2024 and 2028 to advance various forms of clean energy.