The Department of Energy (DOE) has postponed the opening of bidding applications to explore petroleum reserves in the Mindoro-Cuyo basin.
“In line with the enhanced community quarantine [ECQ] throughout Luzon, the opening of applications for Nominated Area No. 5 [Offshore Mindoro], which was originally scheduled on March 31, 2020, is hereby postponed until further notice,” according to a DOE notice.
However, even with the suspension, “there would be no extension for the deadline for the submission of applications, which remains on 31 March 2020, in accordance with DOE DC2017-12-0017.”
An undisclosed firm picked Mindoro-Cuyo as a nominated area.
The DOE explained that the identity of the nominating party is not allowed to be disclosed as part of the integrity of the bidding process.
Nominating an area is one of the two ways investors can participate in the DOE’s Philippine Conventional Energy Contracting Program (PCECP). Another option is requesting the DOE for an Area Clearance.
There are 14 Pre-Determined Areas (PDAs) offered by the DOE.
The nominated area can be counter challenged by other interested bidders. Counter bidders must submit the required documents within 60 calendar days from the date of publication by the nominating party.
The nominating party published its application last January, which leaves counter proponents until March 31, 2020 to make a counter offer.