The company confirmed that it had found a gas column of around 18 meters at its Mahar-1 exploration well after it began exploratory undersea drilling in Block A3 last month.

The discovery was made more than 2,500 meters into the seabed and could yield about 38 million cubic feet of natural gas per day, the Korea Herald has reported.

Posco International was also quoted as saying that it plans to drill a couple of appraisal wells at the site from 2021 and development plans for the field will be established 2-3 years later.

The Shwe natural gas project consists of Blocks A1 and A3. There are currently two existing gas fields – Shwe and Shwe Phyu – at A1. Up until Posco International’s Mahar-1 discovery, there was only one gas field – Mya – in A3.

Posco International has a 51 percent stake in the Shwe natural gas project, while Myanma Oil and Gas Enterprise, KOGAS and Indian companies Oil and Natural Gas Corporation and Gail Limited hold the remaining 49pc.

Shwe is a 35-year project with a remaining 29-year term. Commercial drillings have already started in A1, and will commence at the Mya gas field in A3 in 2025.