Bangkok - Thailand's PTT Exploration and Production (PTTEP) on Wednesday announced an asset swap agreement for Myanmar gas fields with China's state-owned CNOOC.

Under the agreement, the state-owned PTTEP will swap 20 per cent of its stake in Myanmar's offshore concession blocks M3 and M4 for 20 per cent stakes in CNOOC's A4 and C1 blocks.

"We are delighted to have an investment with CNOOC Ltd, which is the largest offshore oil and gas producer in China and has strong expertise in petroleum exploration and production," said PTTEP chief executive officer Anon Sirisaengtaksin.

"The company sees this success as a major step in energy cooperation between China and Thailand," he added.

PTTEP"s blocks M3 and M4 are situated in the Gulf of Martaban, while CNOOC's block A4 if situated offshore the Rakhine states while block C1 is situated onshore in north-western Myanmar.

Thailand is currently the main importer of natural gas from Myanmar.

Myanmar, which faces economic sanctions in the West because of its poor human rights record, earned 2.7 billion dollars from natural gas exports to Thailand last year, according to official figures.

Myanmar's exports last year, which reached 5.9 billion dollars, were driven primarily by natural gas, which earned the impoverished country 2.7 billion dollars, or 45 per cent of the total. (dpa)