MANILA, Philippines - Listed Oriental Petroleum and Minerals Corp. is eyeing the redevelopment of two oil fields that were closed down in the 1990s in a bid to drive the firm’s growth.
In an interview following the company’s annual stockholders’ meeting last week, Oriental Petroleum president and chief operating officer Robert Coyiuto Jr. told The STAR the firm is optimistic about its growth prospects this year given its plans to reactivate two oilfields.
“We’re quite optimistic about the next two projects that we’re going to do. We’re entering Cadlao and West Linapacan oilfield,” Coyiuto said.
Coyiuto said the two oilfields located offshore northwest of Palawan are presently shut-in.
Operations in the Cadlao oilfield was terminated in 1991 after producing 11 million barrels due to low oil prices at the time. The said oilfield was producing 1,000 barrels per day at the time it was shut-in.
In contrast, the West Linapacan oilfield was closed in early 1996 after it produced a total of 8.5 million barrels due to technical problems and as well as low oil prices.
At present, Oriental Petroleum’s revenues come from operation activities in its service contracts from the Galoc, Nido and Matinloc oilfields.
In 2016, the company produced a total of 1.878 million barrels, 1.729 million of which were lifted/delivered/exported. Average price was at $44.351 per barrel.
As of the end of last year, the Galoc oilfield had a cumulative production of 18.720 million barrels, while combined production of the Nido-Matinloc-North Matinloc Complex was at 150,131 barrels for 2016 alone.
Moreover, Coyuito said the company expects revenue for this year to remain “side ways,” but emphasized that the firm remains healthy, as it has no debt.
“We continue to be financially healthy, liquid and debt-free. We’re able to finance of share of exploration and production by internally-generated funds,” Coyiuto said.