PTT Public Company Limited and Malaysia's Petroliam Nasional Berhad (PETRONAS) entered into a 50:50 joint venture on pipeline and gas separation plant projects and consequently established the following companies:

• with a registered capital of Baht 940 million to oversee the operations in Thailand, has its has its head quarter at 181 Moo 8 Tambol Talingchan, Amphur Chana, Songkhla 90130 Thailand Tel. (66) 7449 6065-71 Fax.(66) 7449 6051-64

• with a registered capital of Ringgit 5 million (approximately Baht 55 million) to oversee the operations in Malaysia.
  
  Both companies share the same Board of Directors consisting of 6 members - 3 nominated by PTT and 3 nominated by PETRONAS, who shall hold the position for a term of 3 years. In the first term, the Chairman of the Board will be from PETRONAS whereas the Chief Executive Officer will be from PTT. The Board will oversee the following two projects:
  
  
  
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  The project consists of gas pipeline both onshore and offshore sections with altogether 374 kilometers in length. The offshore 34-inch diameter pipeline, 277 kilometers long, is laid from the JDA platform to the GSP at Chana District, Songkhla Province. The onshore 36-inch diameter pipeline, is laid overland from the GSP, passes through the development area according to the National Social and Economic Development Bureau's Master Development Plan for the 5 Southern Provinces, and crosses the Thai-Malaysian border at Sadao District to connect with the Malaysian pipeline system at Changloon in the northern state of Kedah. The length of the onshore pipeline is 97 kilometers, with 89 kilometers in Thailand and 8 kilometers in Malaysia.
  
  
  
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  The project consists of gas separation plant in Chana District, Songkhla Province, near the spot where onshore and offshore pipelines meet and the LPG pipeline. The gas separation plant has a capacity of 425 million cubic feet per day. The main products extracted from the process are 166,500 ton/year of liquefied petroleum gas (LPG) as fuel for cooking and vehicles, 43,000 ton/year of natural gasoline (NGL) refined as oil products and fuel for industries, and 351 million cubic feet of gas used for fuel. The LPG pipeline, an 8-inch diameter pipeline with total length of 240 kilometers, is laid underground and parallel with the natural gas pipeline from the GSP to the Thai-Malaysian border at Sadao District and crosses the border into Malaysia to Prai Depot in Penang. The length of the pipeline in the Thai and Malaysia territory is 89 and 151 kilometers respectively.