Phongsthorn Thavisin, President and Chief Executive Officer of PTTEP reveals that in the first half of 2019, PTTEP has successfully concluded business expansion according to strategic directions. These include the PSC signing for block G1/61 (Erawan field) and block G2/61 (Bongkot field) in the gulf of Thailand, the awarded exploration blocks in the United Arab Emirates (UAE) and Malaysia, the acquisition of Murphy Oil Corporation in Malaysia that was just completed on July 10, 2019, and the acquisition of 33.8% interests in APICO LLC from Tatex Thailand LLC.
Therefore, PTTEP has revised 2019 expenditure to align with the business expansions as mentioned above. The estimated total expenditure 2019 is USD 3,577 million (equivalent to THB 116,246 million), up from the previous figure of USD 3,256 million (equivalent to THB 107,453 million). However, the newly estimated total expenditure excludes the acquisition cost of USD 2,086 million (equivalent to THB 67,795 million).
For 5-year investment plan (2019-2023), PTTEP has allocated total expenditure of USD 21,354 million (equivalent to THB 685,143 million), higher from USD 16,105 million. (equivalent to THB 525,055 million)
In accordance with the revised 5-year investment plan, PTTEP also sets a higher target of the average petroleum sales volume in 2019 at 345,000 barrels of oil equivalent per day (BOED), representing an 8.5% increase from 318,000 BOED planned in last year. Compounding Annual Growth Rate (CAGR) for 5 year period until 2023 is expected at around 7% with the details as follows:
"Under the Expand strategy, PTTEP recently has completed successful expansions by acquiring businesses both in Thailand and in other strategic investment areas as well as winning the bid of exploration blocks in overseas as planned. Our focus will now be on the Execution strategy, especially the transitions of operations in Erawan field and other acquired assets. This also includes accelerating the exploration activities in our existing