DOE excludes 3 potential petroleum exploration sites in Bangsamoro area in PECR-5 PDF Print E-mail
Monday, 12 May 2014 11:05

Three potential petroleum exploration areas in the Bangsamoro provinces were removed from the 5th Philippine Energy Contracting Round (PECR5) while awaiting the approval of the proposed Bangsamoro Basic Law.

Two of the three potential exploration areas are in the Sulu Sea while the other one is near Palawan.

Energy Secretary Carlos Jericho Petilla, in a briefing at the sidelines of the PECR 5 launch Friday, said there are parts of the excluded areas that are in the previous contracting round but were removed in deference to the signing of the Comprehensive Agreement on the Bangsamoro (CAB) with the Moro Islamic Liberation Front (MILF) last March 26.

“It doesn’t mean they’re gonna be cancelled. They’re simply gonna be postponed so that when the time comes that the law is passed and we have a Bangsamoro area already, formally, then under the framework, which I think will be followed by the law, the contracting round for the Bangsamoro area is concurrent, with Bangsamoro and DOE,” he said.

Under the current contracting round, the DOE is offering 11 areas for petroleum exploration and 15 areas for coal exploration.

For petroleum, the service areas being offered are Area 1 in Southeast Luzon, Areas 2 and 3 in Masbate-Iloilo, Areas 4-5 in Northeast Palawan, Area 6 in Southeast Palawan, Area 7 in West Palawan and Areas 9-11 in West Luzon.

For coal, the areas are mostly in Mindanao. Area 1 is in Carmen, Lanuza, and Tandag in Surigao del Sur; Area 2 is in Tandag and Tago, Surigao del Sur; Area 3, Tandag, Tago, and San Miguel in Surigao del Sur; Area 4 and 5, Butuan City, Agusan del Norte and Sibagat, Agusan del Sur; Area 6, Bunawan, Agusan del Sur.

Area 7 is in Bunawan and Trento , Agusan del Sur; Area 8, Bunawan and Trento, Agusan del Sur and Bislig City, Surigao del Sur; Area 9, Lingig and Bislig City, Surigao del Sur; Area 10 and 11, Godod, Zamboanga del Norte and Kabasalan, Zamboanga Sibugay.

Area 12 is in Baliguian and Siocon, Zamboanga del Norte; Area 13, Alicia, Imelda and Payao, Zamboanga Sibugay; Area 14, Imelda, Malangas, Alicia and Payao, Zamboanga Sibugay; and Area 15, Maitum, Saranggani.

Minimum investments for the petroleum exploration is pegged at about US$ 165 million while it is P10 million per contract for the coal projects. Both figures are estimates before the project’s commercial operation.

“Through PECR, we created an equal playing field for all interested parties, in which the government ensures that all service contracts and offered areas are in accordance with existing Philippine laws and policies,” Petilla said.