TotalEnergies to Withdraw From Myanmar -- Update

By Giulia Petroni and Olivia Bugault

TotalEnergies SE said Friday that it has decided to withdraw from Myanmar, citing stakeholder pressure as the situation in the country has continued to worsen since the military coup last year.

The French oil-and-gas major said it hasn't been able to meet stakeholders' expectations of stopping financial flows going from the Yadana field--which the company operates--to the Myanmar state through national oil company Myanma Oil and Gas Enterprise.

"TotalEnergies has decided to initiate the contractual process of withdrawing from the Yadana field and from MGTC in Myanmar, both as operator and as shareholder, without any financial compensation," it said.

Partners in Yadana and at the Moattama Gas Transportation Company Limited, or MGTC, have been notified of the withdrawal, which will be effective at the expiry of the six-month contractual period at the latest.

During this period, TotalEnergies said it will continue to act as operator of the field and ensure continuity of gas deliveries.

The company said it has also asked the French government to put in place targeted sanctions on financial flows without shutting down production, but hasn't identified any means for doing so.

Write to Giulia Petroni at [e-mail] and Olivia Bugault at [e-mail]

(END) Dow Jones Newswires

January 21, 2022 05:26 ET (10:26 GMT)

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