2 foreign firms keen on PNOC-EC’s new projects

At least two foreign exploration companies have expressed keen interest in acquiring stake in the two new exploration sites of the PNOC-Exploration Corp. (EC) in offshore Mindoro, EC president Rufino Bomasang said.

In an interview, Bomasang said the two exploration firms (one Asian and one Western) are currently conducting due diligence studies for the proposed exploration project.

EC announced last week that it is willing to forge a joint venture agreement with interested parties for GSEC 100 which has two new exploration sites, Cherry and Tablas.

Both sites, Bomasang said, have indicated substantial oil and gas reserves based on initial studies. He said they have recently concluded the seismic survey in GSEC 100 which covered some 960 kilometers of the exploration area.

"We are expecting the due diligence of the two firms to be finished before the end of this year," he said.

According to Bomasang, they are willing to accommodate as many investors as possible. "We will be selling the shares in the project based on investors’ needs. They can buy as much as they can," he said.

If they will drill both Cherry and Tablas, he said they will need to raise about $5 to $10 million.

EC, the oil and gas exploration arm of state-owned Philippine National Oil Co. (PNOC), has been developing other potential petroleum reserves outside of the Malampaya Deep Water Gas to Power project in Northwest Palawan.

"It is important to note that offshore Mindoro is the next possible best prospect (for oil and gas) outside Northwest Palawan," Bomasang said.

EC owns 10 percent in the $4.5-billion Malampaya project. The major proponents of the exploration project are Shell Philippines Exploration B.V with a 40-percent share. Chevron, Texaco of US also owns 40 percent.