Oil contracts remain a “mystery”
French-owned petrochemical giant TOTAL and Chinese National Offshore Oil Corporation are likely to reach an agreement with the Cambodian government soon to drill offshore oil in the Kingdom. However, Te Doung Dara, secretary general of the Cambodian National Petroleum Authority, declined to comment on media that the companies were close to signing drilling contracts for onshore oil exploration with the government, calling such questions “annoying,” Moneksekar Khmer reported June 14.
Patrick Pouyanne, senior vice president of TOTAL’s strategic business development, claimed the firm is hopeful of receiving a license from the government to drill for offshore oil. “We are under discussion process with the Cambodian National Petroleum Authority to guarantee that the company can implement its oil exploration activity,” he said.
An anonymous official from the CNPA said that the China National Oil Corp intends to explore oil in Tonle Sab Lake region, but that it remains unclear in which region TOTAL will explore oil. The official added that the discussion on the offshore oil agreement between the Cambodian government and the two foreign firms seems to be riddled with ambiguities and irregularities.
SRP Lawmaker Eng Chhay Eang called the agreement “mystery,” suggesting the agreement be made public to boost transparency. “When the agreement is made without transparency and public bidding there are doubts related to corruption,” he said. Some diplomats and international organizations are concerned that the Kingdom’s natural resources will become a curse if Cambodia cannot well manage the income well. Concerns began after Chevron, a US oil company, revealed plans to drill oil in Cambodia’s ‘Block A’.
(Source: Corruption Monitor Newsletter, Issue 8, July 2008)