OREANDA-NEWS. December 25, 2014. Daewoo International (President, Jeon Byeong-Il) has successfully achieved daily production of 500 million ft? of gas, signalling that Myanmar`s gas field of Myanmar is back on track.

`Shwe Project`, for which Daewoo International has the operational rights to the gas field of Myanmar, has gradually increased its supply of gas since it first produced 70 million ft? of gas daily in June 2013. The gas produced is being supplied to the domestic market of Myanmar as well as to Chinese markets, from Guizhou of Yunnan Province to the southernmost area of Guangxi Zhuangzu.

If the final target of daily production is achieved, 500 million ft? of natural gas will be converted into crude oil, amounting to approximately 83,000 barrels.

The gas field in Myanmar, which has become the main profit source of Daewoo International, is expected to make a profit of250 billion KRW this year. From next year, when it will enter a stable production period, it is expected to create 300-400 billion KRW of pre-tax profit on an annual basis over the next 25-30 years.

Even if they take the oil price, price index in the US and exchange rate into consideration, Daewoo International expects the gas field in Myanmar to achieve 300 billion KRW of yearly profit with ease.

Meanwhile, as well as exploring the gas field of Myanmar, Daewoo International is an active participant in developing petroleum and gas. In September 2011 it became the first ever private company in Korea to obtain from the Korean government exploration rights to a mining area on the ocean floor in the 6-1S continental shelf of the East Sea. It is currently assessing the gas resources with drilling operations by testing vehicles.

Daewoo International has also started to develop non-traditional petroleum gas, tight oil gas. In August 2013 it acquired from the Bellatrix Exploration in Canada a share of the mining areas in the Baptist area, located in the northwestern of Calgary. Furthermore, it is scheduled for drilling operations with the exploratory ship for AD-7 mining area of ocean floor close to the gas field of Myanmar in partnership with Woodside, the Australian energy specialist, in 2016.