DOE slates August 3 petroleum contracting roadshow in Singapore

Published June 12, 2018, 10:00 PM By Myrna M. Velasco

https://business.mb.com.ph/2018/06/12/doe-slates-august-3-petroleum-contracting-roadshow-in-singapore/

The Department of Energy (DOE) has already firmed up August 3 this year as its international roadshow for the modified petroleum contracting that the Philippine government will be dangling to foreign investors.

Energy Undersecretary Donato D. Marcos has noted that all preparations are now underway for that initial promotional activity that they will be holding in Southeast Asia’s finance and trade center. This has been deferred from the initial June target.

“We have scheduled our roadshow in Singapore on August 3,” he said, noting that this will cover the 14 pre-determined areas (PDAs) that they will be offering to prospective takers of service contracts.

He added that the details of the roadshow program as well as the propounded soft launching of the Philippine Conventional Energy Contracting Program (PCECP) in Singapore “will have to be presented to Secretary (Alfonso G. Cusi) this week for his final approval,”

One-on-one discussions, he added, will also be held with the investors who are keen enough to advance their interests into the country’s upstream petroleum sector.

Depending on the outcome of that roadshow, the energy official further noted that they will calendar the next ones in Australia, the United States and United Kingdom.

Prior to the Singapore offer of the Philippine petroleum blocks, Marcos indicated that a formal launching of the PCECP shall be carried out first in Manila.

There will be 14 petroleum blocks that the country will dangle for prospective service contracts (PSCs) – comprising of eight (8) wells that shall entail deep drilling activity; and six wells for shallow wells drilling.

These targeted service contracts – within the four sub-phases of their work program, will likely fetch investments totaling more than US$2.0 billion – once scaled to the drilling of up to three wells.

On average, investors on shallow well drilling will likely be injecting minimum capital outlay of US$36 million within the targeted seven-year work program; but deep drilling will entail higher capital spending of up to US$100 million per well.