"Thailand Eyes $300 Billion Gas Field Frozen by Cambodia Dispute"

(Bloomberg) -- Thailand’s new government will restart negotiations with Cambodia to explore an offshore oil and gas field with at least $300 billion worth of reserves that the two countries have been squabbling over since the 1970s.

Prime Minister Paetongtarn Shinawatra, who took office in September, said the joint exploration is among her administration’s top 10 urgent goals as the country seeks to boost dwindling reserves, and contain electricity prices and a ballooning fuel imports bill.

The neighbors agreed earlier this year to discuss how to fairly exploit the 26,000-square kilometer block that is estimated to contain about 10 trillion cubic feet of natural gas and 300 million barrels of crude oil. The process won’t be easy, given their history of diplomatic spats and sensitivities on both sides over ceding sovereignty. Negotiations have stalled since 2001, when the countries agreed that territorial claims must be discussed at the same time as joint resource development.

But some in Thailand are hopeful the urgency of declining domestic gas production and reserves, and a closing window for fossil fuel use, will finally bring about a breakthrough allowing the nations to start exploration now and resolve territorial issues later.

“We don’t need to resolve the different opinions on boundaries, we just need to have neighborly chats and try to make use of the resources,” Finance Minister Pichai Chunhavajira said in parliament last month. “That will boost security as well as cut utility costs.”