Thailand Overview

Why Thailand

  • Proven petroleum systems
  • Relatively benign offshore operating conditions in shallow water
  • Mid-life fields with opportunities to extend field life through infill drilling and step-out exploration
  • Remaining undeveloped oil accumulations
  • Ongoing deal flow including exit of majors IOCs
Positive Business Environment
  • Attractive fiscal terms under a concession system:
    • Thailand I terms: 12.5% royalty, 50% petroleum income tax

    • Thailand III terms: 5-15% royalty, 50% petroleum income tax, 0-75% progressive “special remuneration benefit” on windfall profits

    • Tax losses carried forward up to 10 years

  • Extensive local service industry supporting the regional oil gas industry
  • Regional refining capacity
  • Growing local demand for primary energy
  • Crude oil market generally tied to Brent and Dubai crude oil benchmarks
  • Situated in the heart of energy-hungry markets of Southeast Asia

Key Facts

  • Land Area: 513,120 km2
  • Capital City: Bangkok
  • Population: 70.0 million (2021)
  • Government: Unitary parliamentary constitutional monarchy
  • Monarch: Vajiralongkom (Rama X)
  • Prime Minister: Prayut Chan-o-cha
  • GDP: US$501.6 billion (2020)
  • GDP per capita: US$7,186 (2020)
  • Economy: Classified as a newly industrialised economy, the second-largest economy in Southeast Asia
  • Thailand is a founding member of ASEAN

Source: CIA World Factbook, IEA, World Bank