Manny V. Pangilinan-led PXP Energy remains hopeful of the lifting of the moratorium of its service contract 72 or the Recto Bank located in the disputed West Philippine Sea.
“Moving forward, the ongoing maritime dispute in WPS presents a significant hindrance to progressive work in SC 72.
Nonetheless, we are currently engaged in active discussions with the government to explore the most effective approach for establishing the commercial viability of hydrocarbon resources within the contract area,” PXP president Dan Stephen Carlos said during the virtual annual stockholders meeting.
“Despite the challenges, we maintain a hopeful outlook that the moratorium on our two SCs will be lifted soon, enabling the resumption of exploration activities,” Carlos said.
PXP’s SC 75 is also under moratorium.
Carlos said the company is waiting for approval of three new SCs in Northwest Palawan, Sulu Sea, and the Recto Bank areas.
“These contract areas will play an important role in revitalizing our petroleum operations and diversifying our asset portfolio,” he said.
PXP and Forum Energy are participating in a new SC application that will cover the former SC 6A and an additional area to the east which was surrendered by the SC 74 consortium last year.
The other block is a nominated area adjacent to SC 72 and once awarded, PXP plans to acquire new 2D seismic data complemented by marine gravity and magnetic data.
The second block is Area 7 in Sulu Sea which was offered by the government through a bidding round in 2019.