-----------------------------------------------------------------------
  7. PTTEP and its Subsidiaries’ Assets

  -----------------------------------------------------------------------

Property, Plant and Equipment 

7.1.1 Oil and Gas Properties¹ 

  PTTEP and its subsidiaries’ properties mainly are jointly controlled
  oil and gas properties in each project. Oil and Gas properties, which
  located at each project, comprise tangible properties e.g. land,
  buildings and construction, machine and equipments, decommissioning
  costs as well as transportation pipeline and capitalized exploratory
  and production drilling costs. In addition, these properties comprise
  intangible properties e.g. property acquisition costs of concession
  right which shall incur when PTTEP and its subsidiaries acquire the
  concession right.

  As at December 31, 2004, PTTEP and its subsidiaries’ oil and gas
  properties are represented as share of the joint ventures’ individual
  assets for each project as follows:-

  ---------- ------------------------------------- -----------------------
  PTTEP’s                                          Company's interest
  joint                                            
  ventures                                         

  1.         S 1                                   25

  2.         E 5                                   20

  3.         Unocal III                            5

  4.         Bongkot (Block B15, B16, B17)         44.4445

  5.         Pailin                                45

  6.         Arthit                                80

  7.         Phu Horm (E 5-North)                  20
  ---------- ------------------------------------- -----------------------

+---------+---+------------------------------------+----------------------+
| P       |   |                                    | Company's interest   |
| TTEPI’s |   |                                    |                      |
| joint   |   |                                    |                      |
| v       |   |                                    |                      |
| entures |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 8.      | P |                                    | 100                  |
|         | T |                                    |                      |
|         | T |                                    |                      |
|         | E |                                    |                      |
|         | P |                                    |                      |
|         | 1 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 9.      | Y |                                    | 25.5                 |
|         | a |                                    |                      |
|         | d |                                    |                      |
|         | a |                                    |                      |
|         | n |                                    |                      |
|         | a |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 10.     | Y |                                    | 19.3178              |
|         | e |                                    |                      |
|         | t |                                    |                      |
|         | a |                                    |                      |
|         | g |                                    |                      |
|         | u |                                    |                      |
|         | n |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 11.     | M |                                    | 50                   |
|         | T |                                    |                      |
|         | J |                                    |                      |
|         | D |                                    |                      |
|         | A |                                    |                      |
|         | ( |                                    |                      |
|         | B |                                    |                      |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | B |                                    |                      |
|         | - |                                    |                      |
|         | 1 |                                    |                      |
|         | 7 |                                    |                      |
|         | a |                                    |                      |
|         | n |                                    |                      |
|         | d |                                    |                      |
|         | B |                                    |                      |
|         | - |                                    |                      |
|         | 1 |                                    |                      |
|         | 7 |                                    |                      |
|         | - |                                    |                      |
|         | 0 |                                    |                      |
|         | 1 |                                    |                      |
|         | ) |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 12.     | B |                                    | 44.4445              |
|         | o |                                    |                      |
|         | n |                                    |                      |
|         | g |                                    |                      |
|         | k |                                    |                      |
|         | o |                                    |                      |
|         | t |                                    |                      |
|         | ( |                                    |                      |
|         | B |                                    |                      |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | B |                                    |                      |
|         | 1 |                                    |                      |
|         | 3 |                                    |                      |
|         | / |                                    |                      |
|         | 3 |                                    |                      |
|         | 8 |                                    |                      |
|         | ) |                                    |                      |
|         | ³ |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 13.     | L |                                    | 100                  |
|         | 2 |                                    |                      |
|         | 2 |                                    |                      |
|         | / |                                    |                      |
|         | 4 |                                    |                      |
|         | 3 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 14.     | G |                                    | 15                   |
|         | 4 |                                    |                      |
|         | / |                                    | 15                   |
|         | 4 |                                    |                      |
|         | 3 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 15.     | M |                                    | 100                  |
|         | y |                                    |                      |
|         | a |                                    |                      |
|         | n |                                    |                      |
|         | m |                                    |                      |
|         | a |                                    |                      |
|         | r |                                    |                      |
|         | M |                                    |                      |
|         | - |                                    |                      |
|         | 7 |                                    |                      |
|         | & |                                    |                      |
|         | M |                                    |                      |
|         | - |                                    |                      |
|         | 9 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 16.     | M |                                    | 100                  |
|         | y |                                    |                      |
|         | a |                                    |                      |
|         | n |                                    |                      |
|         | m |                                    |                      |
|         | a |                                    |                      |
|         | r |                                    |                      |
|         | M |                                    |                      |
|         | - |                                    |                      |
|         | 3 |                                    |                      |
|         | & |                                    |                      |
|         | M |                                    |                      |
|         | - |                                    |                      |
|         | 4 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 17.     | C |                                    | 100                  |
|         | T |                                    |                      |
|         | J |                                    |                      |
|         | D |                                    |                      |
|         | A |                                    |                      |
|         | ( |                                    |                      |
|         | B |                                    |                      |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | G |                                    |                      |
|         | 9 |                                    |                      |
|         | / |                                    |                      |
|         | 4 |                                    |                      |
|         | 3 |                                    |                      |
|         | ) |                                    |                      |
+---------+---+------------------------------------+----------------------+
|         |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| See     |   |                                    |                      |
| more    |   |                                    |                      |
| detail  |   |                                    |                      |
| in      |   |                                    |                      |
| Chapter |   |                                    |                      |
| 19-     |   |                                    |                      |
| FAS69   |   |                                    |                      |
| page    |   |                                    |                      |
| 139     |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| KV’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 18.     | B |                                    | 8.5                  |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | B |                                    |                      |
|         | a |                                    |                      |
|         | n |                                    |                      |
|         | d |                                    |                      |
|         | 4 |                                    |                      |
|         | 8 |                                    |                      |
|         | / |                                    |                      |
|         | 9 |                                    |                      |
|         | 5 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| SV’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 19.     | B |                                    | 7                    |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | 5 |                                    |                      |
|         | 2 |                                    |                      |
|         | / |                                    |                      |
|         | 9 |                                    |                      |
|         | 7 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| HV’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 20.     | B |                                    | 25                   |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | 9 |                                    |                      |
|         | - |                                    |                      |
|         | 2 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| HL’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 21.     | B |                                    | 28.5                 |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | 1 |                                    |                      |
|         | 6 |                                    |                      |
|         | - |                                    |                      |
|         | 1 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| ME’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 22.     | B |                                    | 100                  |
|         | l |                                    |                      |
|         | o |                                    |                      |
|         | c |                                    |                      |
|         | k |                                    |                      |
|         | 4 |                                    |                      |
|         | 4 |                                    |                      |
+---------+---+------------------------------------+----------------------+
| PTTEP   |   |                                    | Company's interest   |
| AG’s    |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 23.     |   | Block 433a & 416b                  | 35                   |
+---------+---+------------------------------------+----------------------+
| P       |   |                                    | Company's interest   |
| TTEPT’s |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 24.     |   | Block L53/43 & 54/43               | 100                  |
+---------+---+------------------------------------+----------------------+
| P       |   |                                    | Company's interest   |
| TTEPS’s |   |                                    |                      |
| joint   |   |                                    |                      |
| venture |   |                                    |                      |
+---------+---+------------------------------------+----------------------+
| 25.     |   | EU-1                               | 20                   |
+---------+---+------------------------------------+----------------------+
| 26.     |   | S1                                 | 75                   |
+---------+---+------------------------------------+----------------------+
| 27.     |   | Nang Nuan (B6/27)                  | 100                  |
+---------+---+------------------------------------+----------------------+

  As at December 31, 2004, details of properties’ net book value are as
  follows:-

  ----------------- ----------- ----------- ---------- --------- --------- -------- ------- -------- -------- ------- ---------- ---------- ---------- ---------------
                                                                                                                                            Unit :     
                                                                                                                                            Million    
                                                                                                                                            Baht       

  Properties        PTTEP       PTTEPI      PTTEPO     PTTEPKV   PTTEPSV   PTTEP HV PTTEP   PTTEP ME PTTEP AG PTTEP   PTTEP SIAM TPC        MGTC       Consolidated⁴
                                                                                    HL                        SVCS                                     

                    Total       Total       Total      Total     Total     Total    Total   Total    Total    Total   Total      Total      Total      

  Land              25.29       31.92       -          -         -         -        -       -        -        -       23.92      -          -          81.13

  Building and      356.78      745.07      -          0.79      -         -        -       3.18     -        3.98    82.69      -          -          1,192.49
  Construction                                                                                                                                         

  Acquisition Cost  4,460.15    2,272.84    2,828.84   155.09    81.47     -        -       25.58    215.18   -       39.42      -          -          10,078.57

  Geological and    214.00      76.64       -          -         -         -        -       22.76    -        -       2.65       -          -          316.05
  Geophysical                                                                                                                                          
  Survey                                                                                                                                               

  Exploration /     2,181.09    2,645.30    -          56.90     77.33     581.47   -       139.30   12.78    -       263.61     -          -          5,957.78
  Delination Well                                                                                                                                      

  Development Well  7,722.92    1,613.29    -          -         -         -        -       -        -        -       1,525.32   -          -          10,861.53

  Production        18,323.30   4,115.58    -          -         -         -        -       35.40    -        -       1,680.77   2,056.52   4,200.35   30,411.92
  Facilities                                                                                                                                           

  Other Development 659.89      245.21      -          6.91      -         13.98    -       25.08    -        -       -          -          -          951.07
  Cost                                                                                                                                                 

  Decommissioning   2,511.05    462.24      -          -         -         -        -       -        -        -       157.04     -          -          3,130.33
  Cost                                                                                                                                                 

  Support           334.16      90.25       -          1.10      -         4.77     2.53    3.29     6.17     -       104.49     -          -          546.76
  Facilities &                                                                                                                                         
  Other Assets                                                                                                                                         

  TOTAL             36,788.63   12,298.34   2,828.84   220.79    158.80    600.22   2.53    254.59   234.13   3.98    3,879.91   2,056.52   4,200.35   63,527.63
  ----------------- ----------- ----------- ---------- --------- --------- -------- ------- -------- -------- ------- ---------- ---------- ---------- ---------------

⁴ Eliminated related entries.

7.1.2 Reserve quantities as at December 31, 2004 ² [1]

7.2 Investments 

As at December 31, 2004, PTTEP has 11 subsidiary companies and 3
associated companies and 3 jointly controlled entities. PTTEP and its
subsidiaries’ investment lists are presented as follows:

  -------------- --------------- ---------- ---------- ---------- ------------ -------------
  Company        Type of         Paid-in    %          Cost       Equity       Major
                 Business        Capital               Method     Method       shareholder

                                 (Million   Percent of (Million   (Million     
                                 Baht)      interest   Baht)      Baht)        

  Subsidiaries                                                                  
  company                                                                      

  PTTEPI         Petroleum E&P   20,000     100        20,000     23,471.57    PTTEP 100%

  PTTEPO         Commerse        0.17       75         0.13       3,733.54     PTTEP 75%

                                            25         0.04       1,278.46     PTTEPI 25 %

  PTB            Petroleum E&P   -          100        1.51       0.09         PTTEP 100%

  PTTEP KV       Petroleum E&P   2.03       100        2.03       (168.90)     PTTEPO 100%

  PTTEP SV       Petroleum E&P   2.03       100        2.03       (127.46)     PTTEPO 100%

  PTTEP HV       Petroleum E&P   2.16       100        2.16       (1,619.77)   PTTEPO 100%

  PTTEP HL       Petroleum E&P   2.12       100        2.12       (1,000.55)   PTTEPO 100%

  PTTEP ME       Petroleum E&P   2.16       100        2.16       (319.49)     PTTEPO 100%

  PTTEP AG       Petroleum E&P   2.10       100        2.10       (23.96)      PTTEPO 100%

  PTTEPS         Petroleum E&P   100        49         3,719.03   3,071.80     PTTEP 49%

                                            51         3,864.89   3,191.95     PTTEPO 51%

  PTTEP Services Services        1.00       25         0.25       (0.23)       PTTEP 25%

                                            75         0.75       (0.68)       PTTEPTH 75%

  PTTEPT         Petroleum E&P   25.00      49         12.25      9.78         PTTEPME 49%

                                            51         12.75      10.18        PTTEPI 51%
  -------------- --------------- ---------- ---------- ---------- ------------ -------------

+---------+--------------+------+------+---------+--------+-----------+
| Company | Type of      | Pai  | %    | Cost    | Equity | Major     |
|         | Business     | d-in |      | Method  | Method | sh        |
|         |              | Cap  |      |         |        | areholder |
|         |              | ital |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
|         |              | (Mil | Per  | (       | (M     |           |
|         |              | lion | cent | Million | illion |           |
|         |              | B    | of   | Baht)   | Baht)  |           |
|         |              | aht) | inte |         |        |           |
|         |              |      | rest |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
| Ass     |              |      |      |         |        |           |
| ociated |              |      |      |         |        |           |
| Company |              |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
| TOP     | Power        | 2    | 26   | 1       | 1,     | PTTEPI 26 |
|         | Producer     | ,810 |      | ,450.06 | 723.84 | %         |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | Thai Oil  |
|         |              |      |      |         |        | Co., Ltd. |
|         |              |      |      |         |        | 74%       |
+---------+--------------+------+------+---------+--------+-----------+
| New     | Commerce     | 4    | 40   | 9       | 9,     | PTTEPO    |
| Links   |              | 4.27 |      | ,898.26 | 643.35 | 40%       |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | Cumin และ |
|         |              |      |      |         |        | Encore    |
|         |              |      |      |         |        |           |
|         |              |      |      |         |        | Inte      |
|         |              |      |      |         |        | rnational |
|         |              |      |      |         |        | 60%       |
+---------+--------------+------+------+---------+--------+-----------+
| Energy  | Commerce     | 0.50 | 50   | 0.50    | 0.46   | PTTEP 50% |
| Complex |              |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | PTT 50%   |
+---------+--------------+------+------+---------+--------+-----------+
| Jointly |              |      |      |         |        |           |
| con     |              |      |      |         |        |           |
| trolled |              |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
| E       |              |      |      |         |        |           |
| ntities |              |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
| CPOC    | Petroleum    | 1    | 50   | 9.90    | 9.90   | PTTEPI 50 |
|         | E&P          | 9.80 |      | Baht    | Baht   | %         |
|         |              | Baht |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | CARIGALI  |
|         |              |      |      |         |        | 50%       |
+---------+--------------+------+------+---------+--------+-----------+
| MGTC    | Natural gas  | 0.76 | 25.5 | 0.19    | 1,     | PTTEPO    |
|         | pipelines -  |      |      |         | 613.76 | 25.50%    |
|         | overseas     |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | UNOCAL    |
|         |              |      |      |         |        | 28.2625%  |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | TOTAL     |
|         |              |      |      |         |        | 31.2375%  |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | MOGE      |
|         |              |      |      |         |        | 15.0%     |
+---------+--------------+------+------+---------+--------+-----------+
| TPC     | Natural gas  | 2.62 | 19.  | 0.57    | 1,     | PTTEPO    |
|         | pipelines -  |      | 3178 |         | 065.56 | 19.3178%  |
|         | overseas     |      |      |         |        |           |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | PETRONAS  |
|         |              |      |      |         |        | 40.9102%  |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | NIPPON    |
|         |              |      |      |         |        | 19.3178%  |
+---------+--------------+------+------+---------+--------+-----------+
|         |              |      |      |         |        | MOGE      |
|         |              |      |      |         |        | 20.4542%  |
+---------+--------------+------+------+---------+--------+-----------+

  --------------- ------------------------------ --------- ------------------------
  PTTEPI          : PTTEP International Company  CPOC      : Carigali – PTTEPI
                  Limited                                  Operating Company Sdn
                                                           Bhd.

  PTTEPO          : PTTEP Offshore Investment    MGTC      : Moattama Gas
                  Company Limited                          Transportation Company

  PTB             : PTB Partner Co., Ltd. (On    TOP       : Thai Oil Power Company
                  August 11, 2000, PTB                     Limited
                  registered dissolution                   

                  its with the Ministry of       New Links : New Links Energy
                  Commerce. PTB liquidated on              Resources Limited
                  November 1, 2004)                        

  PTTEP KV        : PTTEP Kim Long Vietnam       TPC       : Taninthayi Pipeline
                  Company Limited                          Company LLC

  PTTEP SV        : PTTEP Southwest Vietnam      PTTEPS    : PTTEP Siam Limited
                  Company Limited                          

  PTTEP HV        : PTTEP Hoan-Vu Company        PTTEP AG  : PTTEP Algeria Company
                  Limited                                  Limited

  PTTEP HL        : PTTEP Hoang-Long Company     PTTEPT    : PTTEP (Thailand)
                  Limited                                  Limited

  PTTEP ME        : PTTEP Middle East Company    Energy    : Energy Complex Co.,
                  Limited                        Complex   Ltd.

  PTTEP Services  : PTTEP Services Limited                 

  New Links                                                
  Energy                                                   
  Resources hold                                           
  85.51% share in                                          
  PT. Medco                                                
  Energi                                                   
  Internasional                                            
  Tbk which                                                
  engaged in                                               
  petroleum                                                
  business in                                              
  Indonesia.                                               
  --------------- ------------------------------ --------- ------------------------

7.3 Net Book Value

7.3.1 As at December 31, 2004, PTTEP’s net book value amounted to Baht 57,099 million.

7.3.2 PTTEP guarantees unsubordinated bonds with amount of USD 200 million, issued by its subsidiary. These bonds are included in consolidated financial statement so the net book value is the same amount as presented in 7.3.1.

7.3.3 Net book value in 7.3.1 and 7.3.2 is Baht 87.40 per share.

7.4 Management Policy of Affiliated Companies

For all affiliate companies of PTTEP to be inline with the corporate
strategy, PTTEP sets the policy for affiliated companies which PTTEP
holds 100 percent to be operated by PTTEP’s employees and takes direct
policies from PTTEP’s Board of Director. As for the joint-invested
company, PTTEP set the policies by nominating representatives at the
management and operating levels and involving in the setting of the
policies, Corporate Governance principles.

[1] ² See additional details in page 139