Thai PM wants controversial gas pip

[moe@xxxxxxxxxxxxx]

Thai PM wants controversial gas pipeline laid 
03:40 a.m. Feb 28, 1998 Eastern 
BANGKOK, Feb 28 (Reuters) - Prime Minister Chuan Leekpai said on Saturday
that he wanted work to continue on a controversial pipeline to transport
natural gas to Thailand from neighbouring Myanmar (Burma). 

``The project is important and will benefit the country in the long run. I
want to see it continue,'' Chuan told reporters after inspecting the
construction site in Kanchanaburi province, western Thailand. 

``I have asked the industry ministry to coordinate with the Petroleum
Authority of Thailand to deal with villagers and make them aware of the
benefit of the project and solve any problem that they might face,'' he said. 

Environmentalists have protested the construction, claiming parts of the
pipeline were being laid in a first class watershed forest and wildlife
sanctuary and would affect flora and fauna there as well as local villagers. 

The 260-km (160-mile) pipeline will transport natural gas from Myanmar's
offshore Yadana field overland through Kanchanaburi province to a
4,800-megawatt power plant now under construction in nearby Ratchaburi
province. 

The Petroleum Authority of Thailand (PTT) is responsible for the contract,
and pipeline laying must be completed by July 1 this year or the state
agency has to pay fines to the consortium mining the gas for the delay. 

The operator of the Yadana field is Total SA, which has a 31.24-percent
stake along with Unocal Corp, which has 28.26 percent, PTT Exploration and
Production Plc, a unit of PTT, 25.5 percent, and state-run Myanma Oil and
Gas Enterprise, 15 percent. 

The Yadana project will initially provide 325 million cubic feet per day
(mmcfd) of natural gas to Thailand in 1998. Under the 30-year contract, this
will increase to 525 mmcfd in 1999. 

-- Bangkok newsroom (662) 253-5000