South Korea’s Posco International, which produces steel off the coast of Rakhine, has approved the Chinese contractor Offshore Oil Engineering Company (COOEC) for the construction tender of the block valued at US$523,000,000 for the 4th phase of the Shwe natural gas project.
A large natural gas deposit off the coast of Rakhine was discovered in the Bay of Bengal in Rakhine State in 2004 and has now been tendered to China by South Korea in 2024.
Engineering works between POSCO and the Chinese COOEC company, which is the main part of the Shwe Natural Gas Project; The EPC contract was signed on July (17th) in order to purchase the materials needed for the excavation and construction.
In this natural gas project, Posco International owns the largest share of 51%, while South Korea’s KOGAS owns 17%. It is also known that Myanmar invested 15 percent and India 8.5 percent each.
China has won another gold project worth 523 million dollars. The Chinese COOEC company will complete the construction of the offshore project within 3 years. The gas deposit, which produces about 560 million cubic feet of natural gas per day, has been in operation since 2013 and is being exported to China.
