5 Oil firms bid for DOE’s contracting program for oil, gas exploration in four pre-determined areas

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The Department of Energy (DOE) has received on Monday five bid offers in four of the 14 pre-determined areas offered by the government.

Applicant for Area 3 was Ration Petroleum Limited; Sulu Sea Energy Resources Development Corp. and Esmaulana Global Ventures Co. Inc. submitted an offer for Area 6, while Philodirll Corp. and PXP Energy Corp. bidded for Area 7.

Meanwhile, Troika Giant Power Corporation applied for nominated Area No. 2, Superior (SG) Shipyards, Inc. and Esmaulana Global Ventures Company, Inc.  for nominated Area No. 3

The applications will still be reviewed by the DOE.

“Within 15-working days we would already have a recommendation to the office of the Secretary of the Department of Energy,” DOE Assistant Secretary Atty. Leonido J. Pullido III told reporters.

Pullido mentioned plans to continue to market other pre-determined areas as well.

“I think  we need to seriously keep continuously marketing the Philippines as an option energy exploration potential. We do note that we do have limitations and so far as our geological record is concern, we are considered a frontier area. We do need to further study what we have. So, we do plan to keep marketing the Philippines as an energy market,” he said.

When asked if these future explorations can offset Malampaya once it has reached its depletion, Pullido said that it’s probably not the solution as the exploration process takes roughly five to 10 years to be completed.

“This is the reason why the department is also working for and develop the Philippine downstream natural gas rules to encourage investors to come in and create infrastructure, build infrastructure for the importation of liquefied natural gas,” he added.

PCECP aims to boost petroleum exploration in the country by allowing the entry of more upstream petroleum players.

Bidders can apply by two methods: competitive selection process, wherein interested firms may choose and apply for any of the 14 pre-determined areas or by nomination, wherein bidders may opt to nominate and apply for areas outside of the PDAs.