The government is discussing with an Indian company to conduct a feasibility study for the upgrading of Thanlyin oil refinery under the G to G system, said Nay Lin, a director from the Ministry of Electricity and Energy.

"It's G to G. Giving priority to Thanlyin oil refinery, we are discussing with India. The project is still under discussion," said Nay Lin.

The information about the upgrade of the oil refinery was revealed during the ministry's monthly press conference held in Nay Pyi Taw on January 17.

According to sources from the ministry, discussion is underway with a foreign company to upgrade Thanlyin oil refinery to be able to produce about 10 million metric tons of petrol and diesel yearly.

"A company has to conduct a feasibility study on whether it can do the business or not. Only after this investment matters have to be discussed. They are still studying. We will disclose how we will investment," said Min Min Oo, assistant permanent secretary of the ministry.

Currently, domestic fuel consumption is about 5 million tons a year and the country has to import about 40 million gallons of petrol and about 70 million gallons of diesel a month.

Myanmar has to import over 90 percent of domestic fuel consumption.

The Thanlyin oil refinery upgrade project will include building ports to which over 50,000-ton vessels can be moored for export of diesel and petrol.

Plans are also underway to build a new oil refinery at Thapayakan oil refinery for fuel consumption of upper Myanmar.