Gov’t dead set on reviving oil and gas industry: PNOC-EC allots P10.7B for 2023 exploration program

PNOC Exploration Corp., the upstream oil, gas, and coal subsidiary of the state-owned Philippine National Oil Co., announced an indicative budget of P10.684 billion for next year.

The Marcos administration wants to revive the country’s oil and gas industry, which has been lagging behind its ASEAN neighbors.

Candido Magsombol, PNOC EC vice president for management services division, said the budget would still need the approval of the board.

“Also, we have to firm this up together with our partners in service contracts where we have joint ventures,” Magsombol said.

Of the total budget, about P6.79 billion is intended for petroleum exploration alone.

PNOC EC is also allocating P1.86 billion for coal exploration and development, P1.293 billion for the Malampaya gas project in northwest Palawa, P499 million for operational expenses, and P129.85 million for capital expenditures.

It has seven petroleum Service Contracts (SCs), namely: SC 37 (Cagayan), SC 38 (Malampaya), SC 57 (Calamian), SC 58 (West Calamian), SC 59 (West Balabac), SC 74 (Linapacan), and SC 75 (Northwest Palawan).

The company is the operator of SC 37, SC 57, and SC 59 and an active partner in SC 38, SC 58, SC 74, and SC 75.

PNOC EC also holds four coal pperating contracts namely: COC 41 (Malangas), COC 122 (Isabela), COC 185 (Buug-Malangas), and COC 186 (Imelda-Malangas).
It also trades coal through its coal terminal in Malangas, Zamboanga Sibugay.