THAILAND, BURMA SIGN GAS PRODUCTION, ANTI-DRUG AGREEMENTS.

BANGKOK, May 1 Asia Pulse - Thailand and its neighbour Myanmar Wednesday signed agreements on natural gas production in the Gulf of Mataban and on joint cooperation in drug suppression along their common border, Thai Prime Minister Samak Sundaravej said Wednesday.

Both agreements were signed at Government House on the second of a three-day official visit to Thailand by Myanmar Prime Minister Gen. Thein Sein.

PTT Exploration and Production Public Co. , Ltd. (PTTEP), listed on the Stock Exchange of Thailand, earlier located a combined 71.48 million cubic feet per day field of natural gas at two zones located in the Gulf of Mataban, about 300 kilometres south of Myanmar's former capital of Yangon. PTTEP first struck natural gas at M9 Block in early 2007. The company has held a production sharing contract with the Myanmar government since 2003 and has a 100 per cent interest in M9 Block.

The two countries, however, did not sign a contract farming agreement as expected earlier because the issue has yet been discussed by the Myanmar cabinet, Mr Samak said. Under the contract farming project, Thailand will use Myanmar to produce and supply agricultural products to Thailand while this country will transfer technological expertise to Myanmar farmers to assist them in earning extra income.

Mr Samak and his Myanmar counterpart also discussed cooperation in transportation networks designed to link the two countries with Laos and China upon completion. The Thai prime minister said he ...