"Executive summary: Since the Burma Army attempted its military coup on February 1, the Burma government systems have virtually imploded and civil war is raging at unprecedented levels throughout the country. Violent crackdowns on peaceful demonstrators have so far led to the killing of over 1,250 people and over 7,200 currently in prison for demanding their basic rights. The banking system has been crippled by paranoid military supervision, internet cuts and communication monitoring, all aimed at rooting out opposition. The Burma kyat has plummeted to an all-time low, and there is rampant inflation and shortage of goods. Meanwhile, the regime earns over US$ 1 billion annually from export of Burma’s natural gas resources from four offshore projects to China and Thailand, which are the single largest source of export revenues keeping the military in power. It also receives approximately US$ 500 million worth of domestic gas annually, which means the regime earns an estimated US$ 1.5 billion per year from these projects. Demonstrators, civil society and the opposition National Unity Government (NUG) have therefore called on governments to impose economic sanctions on the state-owned and military controlled Myanmar Oil and Gas Enterprise (MOGE). The NUG has also urged companies to deposit all payments into a third-party escrow account, until an elected federal government is in place. In May, the French company Total, the operator of the Yadana offshore fields, responded by withholding the dividend to MOGE from its Moattama Gas Transportation Company (MGTC), transporting gas from these fields. However, the dividend constitutes only 10% of the Yadana revenues paid to the regime, and only approximately 4% of Burma’s total gas export revenues. Meanwhile, Total and other companies currently exporting from offshore fields, including US Chevron, Thai PTTEP and Korean POSCO, are not only continuing to provide funds and legitimacy to the regime, but also expanding their projects. Planning is also underway to exploit recent discoveries of gas in three new areas off the Arakan Coast and south of Yangon which would further entrench the regime. 16 oil and gas companies from 13 countries currently have major shares in Burma’s oil and gas industry, and more are profiting through sub-contracts, such as Swiss-based Transocean and USMcDermott International. Only one company, Japan’s Mitsui Oil Exploration Company (MOECO), has divested from Burma’s offshore fields since the coup, withdrawing its investments from a planned new project in late October. By not heeding demands from the people of Burma, international oil and gas companies are increasingly becoming branded as military collaborators and placing their staff and operations at risk. A growing number of People’s Defence Forces are targeting the regime’s infrastructure and revenue-generating projects, particularly in the communications, electricity and energy sectors, including attacks on several gas pipeline projects. NUG has reported that PDFs conducted 950 attacks, including targeted explosions, between September 7 and October 6, of which 213 were against economic projects of the regime. One option for international oil and gas companies is to unilaterally suspend projects by declaring Force Majeure, for a period of up to two years, citing “insurrection”, “active hostilities or imminent threat of hostilities” or other reasons stated in their standard Production Sharing Contracts with the Burma government. International governments, particularly those which claim to promote democracy and human rights must place comprehensive economic sanctions on MOGE – consistent with sanctions already placed on other state-owned enterprises such as the Myanmar Timber Enterprise and Myanmar Gems Enterprise -- and ensure that no revenues or taxes are paid by their oil and gas companies to the regime. Oil and gas companies should immediately suspend all revenue and tax payments to the regime and put these into a third-party escrow account. Failing that, they must suspend or cancel their projects. All companies must also stop exploration and development activities aimed at exploiting additional or new gas discoveries. This report provides an update of Burma’s offshore natural gas industry, its impacts on the people of Burma and recommendations for the international community..."