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The Department of Mineral Fuels in Thailand has completed amendments to the Petroleum Act to ensure petroleum production continuity after license expirations. However, approval is pending a new elected government.

Delays in domestic gas production have increased reliance on costly LNG imports, raising production costs. Last year, amendments were close to cabinet approval before the dissolution of parliament. A caretaker government cannot approve binding projects.

The Petroleum Act allows a one-time renewal for 10 years, but further renewals require cabinet approval. Renewals, now subject to bidding, have led to delays in production, increasing dependence on LNG. Recent license expirations in key gas fields coincided with a surge in global oil prices, prompting government subsidies for electricity that created long-term financial burdens.