PNOC-EC eyes coal project in Indonesia

Manila Times.net
Published : Monday, February 27, 2012 00:00 Written by : EUAN PAULO C. AÑONUEVO REPORTER


Philippine National Oil Co.-Exploration Corp. (PNOC-EC) is keen on pursuing coal projects abroad.


Gemiliano Lopez, Jr., PNOC-EC chairman, told reporters that they plan to look into potential coal exploration and mining projects in other countries as part of the company’s expansion program.


“We have to establish first our position. Now after establishing that we have enough cash, that we do not have to borrow. Now if we have enough cash to invest outside the country, we will definitely invest,” he said.


Among the countries PNOC-EC is considering for possible investments is Indonesia, which offers “low-priced coal”.


The company targets to decide whether or not to pursue the proposed coal investment abroad within the year.


At present, PNOC-EC “is still in the process of studying the company’s financial position.”


PNOC-EC currently holds interests in five coal operating contracts located in various parts of the country.


Lopez earlier said that PNOC-EC intends to pursue other coal projects to help boost the country’s indigenous energy resources.


Among the coal investments PNOC-Ec has lined up this year are the mine-mouth plants in Isabela and Zamboaga Sibugay province, and the resumption of the company’s coal-trading activities.


Besides the company’s coal projects, PNOC-Ec also has interests in eight petroleum contracts. Foremost of which is a 10-percent stake in the Malampaya field, the country’s largest natural gas producer.


At present, the government, through PNOC, owns 99.71 percent of PNOC-EC shares, with the public owning the remaining 0.29 percent.