Jul 16, 2020
PNOC-EC Eyes Global Oil Producer Rank
Manila Bulletin - Business News
Published July 12, 2020, 12:00 PM
by Myrna M. Velasco
State-run Philippine National Oil Company- Exploration Corporation (PNOC-EC) will raise the ante on its exploration and production (E&P) ventures in the upstream petroleum industry, so it can re-position itself as a top-tier oil and gas producer with global reach.
PNOC-EC President and Chief Executive Officer Rozzano Briguez said that monumental target shall be clinched by the company in the next 10 years or within the 2030 timeframe.
“PNOC-EC has at least two basis for looking at the energy future of the Philippines. It is guided by the first vision: to become the leading exploration and production company in the Philippines by 2030,” the company chief executive said.
He added the overarching goal is “to have a global reach,” and “to be a partner of choice in exploration and production,” that in turn shall contribute to the country’s growth and development.
Briguez conveyed that in PNOC-EC’s aspiration to become a “partner of choice,” it will be opening its doors to all technically-equipped and deep-pocketed investors – whether these are Chinese or other foreign firms, primarily the multinational energy giants.
The critical first step for the state-run firm toward that ‘top rank’ goal is re-entry into three of its existing petroleum service contracts (SCs) in Isabela under SC 37; Northwest Palawan for SC 57; and Southwest Palawan for Service Contract 59.
The PNOC-EC chief executive emphasized their investment trajectory is aligned with the plan and vision set forth by the Department of Energy (DOE); primarily in the development of indigenous energy resources to fulfill the country’s quest for energy security and independence through year 2040.
“It is a challenge because it is an enormous amount to fill in especially we consider indigenous resources. But it is also an opportunity considering PNOC-EC’s core business in oil, gas and coal exploration and production,” Briguez stressed.
For the targeted re-entry into SC 37, he indicated that if reserves will “turn out to be of commercial discovery, PNOC-EC will prepare a gas-to-power project similar to San Antonio with a power plant development.” That was in reference to the San Antonio gas-to-power project that the company spearheaded in 1994-2008 which then yielded gas output of 3.54 billion cubic feet and fed the fuel needs of a 3.0-megawatt power facility at its host community in Isabela.
For SC 57 and 59, Briguez said the company shall resume exploration “with joint venture partners as soon as issues are resolved, including maritime dispute in the West Philippine Sea.”
PNOC-EC said it will likewise “continue to support exploration and production activity with its joint venture partners and operators such as Shell for Malampaya gas production in SC 38; and for exploration of Nido Petroleum in SC 58; and PXP Energy for SC 74 and SC 75.” Onward, the company will further pursue exploration activities and service contracts in the petroleum basins of Cotabato, Cagayan, East Palawan, West Philippine Sea and other prospective areas that shall be offered by the energy department.
