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The organisation argues that India’s Adani Myanmar Economic Holdings Ltd (MEHL) for
Ports and Special Economic Zone was removed their funding of the military, the international
from the indices in April, owing to its ties to mil- community needed to “adopt measures to block
itary conglomerate Myanmar Economic Corpo- direct or indirect payments to the State Admin-
ration (MEC) – ties that PTT shares. istration Council (SAC) junta from oil and gas
The NGO said a joint venture that PTT projects operated by PTT and other companies.”
entered into with military affiliated Kanbawza The international community’s increasingly
(KBZ) in 2019 – Brighter Energy – was paying hardline response to Naypyidaw’s often brutal
MEC slightly more than $800,000 per year in handling of protests has certainly encouraged
rent for land where it is building a fuel terminal. some investors to rethink their strategies in
PTT bought a 35% stake in Brighter Energy from Myanmar.
KBZ, which also runs the country’s largest bank
and dozens of companies, Investor doubts
Brighter Energy is leasing land in the Thilawa French major Total announced on May 26 that
area of Yangon Region from MEC and the Min- the Moattama Gas Transportation Company Ltd
istry of Defence under a build-operate-transfer (MGTC) joint venture, which owns a pipeline
(BOT) agreement, leaked Myanmar Investment linking the Yadana gas field to Thailand, would
Commission documents have shown. The suspend shareholder payments.
50-year BOT, which includes the option to Total owns 31% of MGTC, while US
renew for two additional 10-year terms, involves super-major Chevron owns 28%, PTT subsid-
the payment of a $1.68mn land use premium fee iary PTT Exploration & Production (PTTEP)
to MEC as well as $808,800 in annual rent. has 25% and military-controlled Myanmar Oil
The venture aims to invest $150mn in build- and Gas Enterprise (MOGE) holds the remain-
ing a jetty, fuel oil storage terminal and liquid ing 15%.
petroleum gas (LPG) filling plant. The project Total said the payment suspension had been
will have a capacity of 1mn barrels of oil and proposed at MGTC’s shareholder meeting on
4,500 tonnes of LPG and was supposed to have May 12. It will, however, continue to produce gas
been finished this year. in order to supply thermal power plants (TPPs)
Human Rights Watch noted that KBZ’s in both countries.
close ties to the military had seen a UN-backed The company added: “Total condemns the
fact-finding mission in 2019 call for KBZ officials violence and human rights abuses occurring in
to be investigated for crimes against humanity. Myanmar and reaffirms that it will comply with
The NGO said that while the US, UK, EU any decision that may be taken by the relevant
and Canada had sanctioned both MEC and international and national authorities, including

Week 21 27•May•2021 www. NEWSBASE .com P7