Eneos said in a statement that its subsidiary JX Nippon Oil & Gas Exploration Corp. notified its business partners in Myanmar’s Yetagun gas fields of the decision on Friday.
Eneos said JX Nippon Oil & Gas Exploration, which has a stake of 19.3 percent in the project, took into consideration “the country’s current situation, including the social issues, and project economics based on the technical evaluation” of the gas fields.
The oil refiner is the latest Japanese company to withdraw from Myanmar following the military coup in February 2021, which overthrew the elected civilian government led by Aung San Suu Kyi.
In February this year, Kirin Holdings Co. said it would withdraw from Myanmar’s beer market to promptly end a business partnership with a military-linked entity in the country.
According to the statement by Eneos, the withdrawal will be effective after approval from the Myanmar government.
Eneos said the impact of the exit on its earnings is expected to be minimal.
Read More: Japan energy giant Eneos to exit natural gas project in Myanmar