In an era overloaded with information but lacking correct understanding, Orakanya Pibultham, Managing Director of Bank of America for the region, shared insightful views from a discussion at the Energy College (Vaporn). She cited knowledge from Pala Sukwech, former PTT governor, to awaken Thai people from misconceptions about Thailand's energy, especially the myth that the country has massive oil reserves ranking among the world's top.
In fact, data from Worldometer in 2025 shows Thailand ranks 55th globally, with crude oil reserves of only 239.8 million barrels, which is just 0.014% of the world's total reserves. If Thailand stopped importing oil and relied solely on existing resources, the oil would run out within less than a year because actual daily demand is 1.3 million barrels, while domestic production is only a bit over 100,000 barrels per day.
Because of this, Thailand is a "net oil importer" that depends primarily on the Middle East for over 60% of its oil consumption.
Amid the crisis causing Thai people to worry about fuel shortages, many ask why Thailand does not import cheaper oil from Russia like some other countries.
It must be understood first that oil is not a commodity that can be bought on a whim; it involves long-term forward contracts. Most importantly, Thai refineries are technically designed to process Middle Eastern oil specifically, which has chemical properties—density and sulfur content—that differ completely from Russian oil.
Thai refineries have invested heavily in desulfurization units and system adjustments tailored to the chemical profile of Arabian oil to produce diesel and gasoline proportions that meet domestic demand. If we force Russian Urals crude, which is cheaper but contains heavy metals like nickel and vanadium, into the refineries, these metals cause a reaction known as catalyst poisoning.
This rapidly damages the catalytic agents in the distillation towers, forcing frequent shutdowns to replace costly catalysts. Maintenance costs could exceed any discounts gained from cheaper oil. Meanwhile, premium grades like ESPO, though better quality, produce yields that do not match Thailand's actual consumption needs.
Additionally, competitors such as China and India bid for Russian oil, keeping prices from being as low as expected. Importing large volumes of Russian oil without costly and lengthy refinery upgrades poses high risks and will likely end in "damage upon damage" rather than long-term benefits.