Forum wants to start Recto Bank drilling

By Amy R. Remo

Philippine Daily Inquirer

4:24 am | Monday, November 5th, 2012

Manuel V. Pangilinan: Drilling by March or April 2013. INQUIRER FILE PHOTO

MANILA, Philippines—Forum Energy Plc is hoping to finally start by March next year its planned $75-million oil and gas drilling program at the controversial yet highly prospective Recto Bank.

Forum’s drilling program has been adversely affected by the territorial dispute involving China and Taiwan.

Philex Petroleum Corp. chair Manuel V. Pangilinan said Forum wanted to start drilling one of the two appraisal wells by March or April 2013, as scheduled under its commitment program with the government for Service Contract 72.

Philex owns 64.45 percent of the issued capital of Forum Energy.

Forum Energy holds a 70-percent interest in the SC 72 license, while the remaining 30 percent is held by Monte Oro Resources Energy.

Pangilinan, however admitted that the program might be delayed anew, not because of any incidents concerning territorial disputes, but due to a delay in the issuance of the permits for the holding of a geotechnical survey in the area.

“We were scheduled to have a geotechnical drilling vessel to do seven to 10 days of [survey] work in late October. This is to determine the stability of the soil,” Pangilinan said.

“We advised the Department of Energy, in a letter on July 4, that we intend to have this geotechnical ship out there because it required a 90-day notice. We’ve written them again on Oct. 8 and told them that we did not receive a notice to proceed. Obviously, we cannot proceed without their permission,” he added.

According to Pangilinan, the group has yet to assess whether they would need to seek an extension from the DOE to meet all their commitments under the first exploration subphase, which is supposed to end by August next year.

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Tags: Energy , Forum Energy , oil and gas-upstream activities

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