PXP Energy Corporation, an upstream oil and gas firm, is now proceeding with plans to drill two exploratory wells at the Recto Bank, a petroleum area in the West Philippine Sea covered by Service Contract (SC) 72. No agreement has been reach with the Government of China or the China National Offshore Oil Corporation (CNOOC) for joint exploration activities.
In February 2021, the Department of Energy (DoE) of Philippines approved PXP Energy’s new sub-phase 2 work plan, which includes geotechnical surveys and the drilling of two wells. The total investment for the project is USD7.5 million.
PXP Energy still needs to conduct additional seismic surveys in order to establish the baseline, as well as the environmental conditions in the area where it plans to drill and the stability of the undersea soil in terms of supporting an oil rig.