The share price of PTT Exploration and Production Public Company Limited (SET: PTTEP) dropped THB5.50 or 3.19% to close the morning session on Monday at THB167.00 per share, following the decline in oil prices last Friday and negative sentiment from the central bank of Norway exclusion.
On Friday, oil prices fell more than $2 per barrel as concerns over global recession that could dampen oil demand continued to grow.
The international benchmark Brent crude fell $2.17 or 2.7% to $79.04 per barrel, while the West Texas Intermediate (WTI) decreased $1.82 or 2.4% to $74.29 a barrel.
Oil prices did bounce back in the early trading session of Asian markets on Monday, as Brent crude gained 0.67% to $79.57 per barrel and WTI increased 0.73% to $74.83 a barrel.
Investors are weighing on the possibility of a global recession after central banks around the world continued to raise interest rates to combat persistently high inflation.
Meanwhile, the central bank of Norway has announced that it will cease to include the Thai oil and gas company PTT Public Company Limited (SET: PTT) and its subsidiary PTT Oil and Retail Business Public Company Limited (SET: OR) from investment by the Norwegian Government Pension Fund Global due to their relation with the military-led government in Myanmar.
The council noted that after the coup in February 2021 by the armed forces in Myanmar in which the military intensified its extremely serious abuses of civilians, PTT and OR provided the armed forces with substantial revenue streams that could finance military operations and abuses through their activities in the country.
The council added that PTT and OR’s business partnerships with MOGE and MEC represented an unacceptable risk of contributing to extremely serious norm abuses in the future.
The share price of PTT closed flat in the morning session at THB31.25 per share after dropping 1.60% in early morning. Its retail business OR closed the morning session at THB23.30 per share, representing a decrease by 0.85%. The share price of OR fell as low as 1.29% in early session.