South China vice-president for operations David Baladad said the company’s board of directors has approved the amendment of the firm’s articles of incorporation by changing its primary purpose to that of a holding company and relegating its existing primary purpose of oil exploration as among its secondary purposes.
The said amendment will be submitted for the approval of South China stockholders at a special meeting on Oct. 22, 2003, Baladad said.
Baladad said the board also approved to spin-off the company’s oil exploration activities to a soon to be created wholly-owned subsidiary.
South China was incorporated on Sept. 1992 primarily to undertake oil and gas exploration, development and production in certain areas in the Philippines. Since its incorporation, South China has been actively involved in the review of the different sedimentary basins in the country.
However, South China opted to refocus its core business objectives, diversifying into investments in banking and telecommunication. However, it will still continue its exploration in areas it considers the best in the country, mainly concentrating its efforts in the Sulu Sea.
The company is a participant in several geophysical survey and exploration contracts (GSEC) entered into with the government, through the Department of Energy.
GSEC No. 79, for instance, was acquired by South China in Jan. 1995 covering the areas of Bondoc, Ragay Gulf, and Bicol.