Employees Say The French Oil Company, Total, Is Still Connected With The Myanmar Military Regime

Total's Yadana offshore gas drilling rig in Myanmar. (Source: Total Myanmar)

JAKARTA - French oil company, Total still provides significant revenue to Myanmar's ruling military council, employees said, despite the French government condemning the February 1 coup and the regime's continuing crackdown on protesters.

Total E&P Myanmar is under pressure to cease operations in the country, where at least 710 civilians have been killed in less than three months by the junta's armed forces, according to the Assistance Association for Political Prisoners (AAPP).

Total staff members spoke to Myanmar Now on condition of anonymity saying revenue from gas exports continues to go to the state-owned Oil and Gas Company (MOGE), which is controlled by the military.

"There is no (operation) suspension at all. Natural gas is still being produced and exported for sale, and the resulting revenue has not been confiscated. It is being transferred to MOGE. This is bound to reach the junta", said an engineer who has been with Total for almost 15 years, cited from Myanmar Now, Friday 16 April.

The company's local employees have demanded that oil and gas (Migas) revenues not be paid into military coffers, according to a March 5 call filed by the Committee for Representing Pyidaungsu Hluttaw (CRPH), a body made up of elected lawmakers who were ousted in the coup. However, employees said Total refused to comply with this request.

Illustration of Total's offshore platform in Myanmar. (Source: Total Myanmar)

"We demand that the company management stop delivering gas to Thailand, so there will be no revenue from gas exports to the junta", said a local employee, referring to natural gas from the Yadana gas field in the Andaman Sea.

"Another option is to freeze revenue from gas sales, at least withholding it until democratic rule returns. But the company management failed to comply with our demands", the employee added.

In late February, Australian oil company Woodside Energy announced it would cease drilling operations in Myanmar, including in the offshore block A6 in the Rakhine Basin. Woodside and Total each hold a 40 percent stake in the project, but Total is in a non-operator role.

Total Chief Executive Officer Patrick Pouyanné released a statement on April 4 in response to calls for the company to stop funding the junta, announcing Total would stop drilling on block A6. However, a Total employee in Myanmar rejected the CEO's statement, describing it as a 'hoax'.

"A6 is operated by Woodside. Woodside has stopped operations, not Total", said the staff member.

In addition to the A6 site, Total's drilling campaign at the Yadana gas field has continued during the current crisis. The staff member explained that company management in Myanmar had said they would stop drilling additional wells at the site in May.

However, the employee noted, the decision was not made in response to a deadly crackdown by the Myanmar military regime.

"Actually, currently, a drilling will be carried out", he added.

The employee pointed out that Total is scheduled to continue extracting and selling gas from the Yadana field, even as drilling for new wells stops.

In 2019, the company generated nearly USD 230 million in revenue to Myanmar. More than three-quarters of this goes to MOGE and the rest is paid in taxes, reported by Reuters.

"One thing to note about Total is that they came to Myanmar in 1992, right after the 1988 uprising", said an employee.

"Operating in war-torn regions and countries where dictators are in power because it is more profitable for them", he added.

Total Logo. (Wikimedia Commons / Laurent Vincenti)

Staff also raised questions about their rights as workers who were being violated. The company employs about 300 people, an estimated 90 percent of whom are local residents.

One employee reported that management had forced at least one staff member to resign after he requested leave without pay amid the regime's ongoing crackdown.

"Currently, we are working four weeks of work and four weeks resting at home in shifts. An employee cannot continue his work due to the current situation in Yangon", said the staff member, referring to the shootings and arrests carried out by soldiers and police all over commercial capital.

"He asked for leave without pay. But management did not allow it, instead made him resign. He had to submit his resignation letter voluntarily", said the employee.

The CRPH leaders have urged workers in all sectors across the country to join the Civil Disobedience Movement (CDM), refusing to work under a military dictatorship.

However, participation in the CDM is not yet known among Total's 300 employees, almost all of whom are local residents, a staff member added.

"In early March, we tried to arrange to primary demand (Total) suspend tax payments to the junta, but that didn't happen. Senior staff who had been with the company for a long time worked instead of joining the CDM", he said.

Employees continue to hope that if the staff joins CDM as a united front, they may be able to stop Total's operations.

"If we all go to CDM, the company's operations can definitely be stopped. (We) cannot be replaced easily", he said, adding that Total is likely to try to bring in foreign contractors to take over their jobs.

"Each offshore platform has a different nature and requires in-depth knowledge of its location. They cannot (study it) all at once", he explained.

Apart from operating the Yadana gas field and holding shares in offshore drilling block A6, Total is also working on at least three other deep-sea blocks in the Andaman Sea and the West Yetagun Block.

Previously, as reported by Reuters, Total Chief Executive Patrick Pouyanne said that there were several reasons why they were still running their business. First, to protect the main energy source in Myanmar. Then, if Total decides to stop the production, it could be subject to forced labor by the Myanmar military regime.

Pouyanne said that so far his party had not made monthly tax payments of USD 4 million to the military regime, because the Myanmar banking system was not running.

Regarding Myanmar Coup. VOI editorial team continues to monitor the political situation in one of the ASEAN member countries. Casualties from civilians continue to fall. Readers can follow the news surrounding the Myanmar military coup by clicking on this link.