Prime Minister Hun Sen yesterday said Cambodia is set to get its first drop of oil in 2020, confirming a previous statement by KrisEnergy, the company that will be extracting the crude.
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Cambodia has been waiting for its first extraction for several years. The government initially said oil extraction would begin in 2012 but the date has been pushed back several times.
Speaking during a graduation ceremony at the National Institute of Education yesterday, Prime Minister Hun Sen said revenue from locally-extracted oil will be used to build infrastructure and improve the health and education sectors.
“I can confirm that the first drop of oil will be extracted next year. I will be able to give you a more specific date later when I meet with the company [KrisEnergy], who is now building the platform for extracting the oil,” Mr Hun Sen said.
“My intention is to spend money from oil on solid and soft infrastructure,” he said.
Last week, KrisEnergy announced that drilling in the Aspara oil field is scheduled to begin during the first half of 2020. The company is now building a minimum facilities wellhead platform (mini-platform).
“Apsara oil is scheduled to flow in the first half of 2020 and the field is expected to reach a peak rate of 7,500 barrels of oil per day,” the company said in a press release on Nov 13.
This development phase, Mini Phase 1A, comprises the mini-platform and five initial development wells connected to the production barge for oil, gas and water processing, the company said. Shuttle tankers will transport crude oil from the barge.
Hann Khieng, chairman of the Cambodian Petrochemical Company, who is building an oil refinery in Preah Sihanouk province, told Khmer Times his company is now negotiating the purchase of oil with KrisEnergy.
“We have been meeting and discussing,” Mr Khieng said yesterday.
Construction of the refinery began in 2017 and is ongoing. The plant, which will occupy 390 hectares of land, will cost about $620 million to build.