The Department of Energy on Wednesday welcomed the start of oil exploration program in the service contract of PXP Energy Corp. in the West Philippine Sea this year, saying it will help support the country’s energy security.
“As you know we have lifted the unilateral moratorium exploration in WPS, and we had issued service contracts for the exploration. I’m happy that SC 72, they’re going to start their exploration and, in fact, they are already acquiring the vessel,” Energy Secreraty Afonso Cusi said during the Kapihan sa Manila Bay virtual forum.
PXP Energy, the oil and gas exploration unit of Philex Mining Corp., announced last week that together with subsidiary Forum Energy Plc., it would drill two appraisal wells in the gas-rich Recto Bank this year.
“That is a good development, and we will continue even at Malampaya. We are doing the validation drilling so we will know how much more stock or gas we can withdraw from Malampaya,” Cusi said.
The reserves of Malampaya gas project in northwest Palawan, the country’s biggest natural gas producing asset, is expected to be depleted starting in 2024.