Thailand's largest energy firm and sole gas provider, PTT Pcl, plans to import at least 5 million tonnes of LNG in 2017, up from 3 million tonnes this year, as local gas production fades.

In September, the state-controlled firm expects to conclude talks with several suppliers, including Royal Dutch Shell Plc (NYSE: RDS.A) and BP Plc (NYSE: BP) to buy LNG under long-term contracts, CEO Tevin Vongvanich told a news conference on Aug. 18.

Thailand, which uses natural gas for nearly 70% of its power generation, has become increasingly reliant on LNG imports as its own domestic gas fields are slowly being depleted.

"As domestic resources decline, we are at the last phase of gas production," Tevin said, adding that PTT aimed to buy at least 3 million tonnes of LNG via long-term contracts, as well as making purchases in spot markets.

Thailand currently has a long-term contract with Qatar for supplies of up to 2 million tonnes of LNG per year.

Hit by the decline in global oil prices, PTT has cut its 2016 investment budget to 43.31 billion baht (US$1.25 billion) and will focus more on infrastructure, including LNG terminals and gas pipelines, Tevin said.

PTT is in the process of doubling the intake capacity of its 5 million tonne per year LNG import terminal at Map Ta Phut in the country's east, which is expected to be completed in 2017, Tevin said.

PTT is also working to boost revenue from non-oil businesses, he said.

The company also plans to spend about 50 million baht to 100 million baht supporting clean energy technology, CFO Wirat Uanarumit said.

PTT expects to continue to make profit in the second half of the year, with lower feed gas costs supporting its core gas business, Wirat said.

Unlike the first half of 2016, PTT has no major shutdowns planned for the latter half of the year, he said.

On Aug. 15, PTT reported a 4.8% rise in second-quarter net profit as its strong gas business outweighed the weak performance of its petrochemical and refining businesses. (US$1 = 34.5700 baht)