PTT adjusts procurement plans for "crude oil" from outside conflict zones despite bearing higher costs to prevent domestic oil shortages and maintain energy security.
PTT Public Company Limited (PTT) stated that due to unrest in the Middle East affecting global energy shipping routes over the past month, the company has closely monitored the situation, proactively managing energy security. It has adjusted crude oil procurement plans to sources outside conflict areas despite higher costs, and accelerated distribution to consumers to prevent oil shortages in the country and maintain energy security for the Thai people.
In response to rising tensions in the Middle East impacting key energy shipping routes such as the Strait of Hormuz, PTT has elevated crude oil management measures to address risks that could disrupt transportation. There is crude oil from the Middle East region, previously procured and loaded on the vessel Serifos, totaling 2 million barrels, which has been delayed at Sharjah Ports since 7 March 2026.
To avoid energy risks for the country, PTT decided to immediately procure crude oil from alternative sources by leveraging international trade capabilities and global partner networks to ensure continuous energy supply in Thailand, even though purchases were made during a period of sharply rising prices. Following a temporary ceasefire agreement between the United States and Iran on 10 April 2026, the delayed oil tanker was able to set sail after about a month’s delay and is expected to arrive in Thailand on 21 April 2026.
This decision to procure crude oil during a crisis occurred when the global market was tight and demand was increasing, pushing crude oil prices up to 130 dollars per barrel. Consequently, PTT had to buy at above-normal prices, absorbing higher costs and risking short-term losses when global oil prices later declined. The estimated financial impact is approximately 500 to 1,000 million baht, an expense considered as insurance for the country's energy security.
Furthermore, the rapid rise in global oil prices has significantly increased liquidity and financial costs for the PTT Group to date, including:
This totals an increased liquidity burden exceeding 230 billion baht, resulting in interest costs rising by over 7 billion baht. These costs are not part of regular business operations and have not been passed on to consumers through oil prices. They represent expenses incurred to reduce national risks and ensure Thailand does not face an oil shortage.
Nonetheless, as the national energy company, PTT affirms it will continue to carefully manage both energy and financial aspects to balance the country's energy security with organizational stability, standing firm in supplying energy to power the nation through this crisis together.