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NEWS UPDATES 26 July 2009

Total to sign energy agreements with Cambodia govt

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French oil company Total will sign official agreements on two hydrocarbon concessions with the Cambodia government "in the coming days" following more than three years of discussions, the company was quoted as saying by thePhnom Penh Post.

Jean-Pierre Labbe, Total's senior representative in Cambodia for exploration and production, said both sides were going over the wording of the contracts ahead of an official signing expected before the end of the month.

"It's the final reading [of the agreement] on the Cambodian side [and] on our side," he said.

Total has also sent to Phnom Penh another member of its new ventures team, Jean-Paul Precigout, to help with the process, Labbe added.

A spokesman for Prime Minister Hun Sen announced the deals from Paris on July 14, the French holiday Bastille Day, during an official visit by the Cambodian government.

"When the prime minister left Phnom Penh [for France] his decision was made," Labbe said.

The agreements relate to two blocks: the 2,430-square-kilometre offshore Area III in the Gulf of Thailand, the ownership of which is still under dispute between Bangkok and Phnom Penh, and onshore Block 26, a 22,050 square-kilometre concession that cuts through Phnom Penh as well as Kep, Prey Veng, Svay Rieng, Kandal, Takeo, Kampot, Kampong Speu and Kampong Chnnang provinces.


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