The Philippines has announced eight new petroleum service contracts (PSCs) for exploration in Cagayan, Cebu, Central Luzon, East Palawan, Northwest Palawan and Sulu Sea.
The awards are said to constitute the biggest single‑period allocation of PSCs in the history of the country.
This package, unveiled by the country’s president, Ferdinand R. Marcos Jr., encompasses the inaugural competitive tender for native hydrogen in addition to multiple co‑management projects with the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM).
The agreements, intended to support new gas exploration as the Malampaya gas field faces a downturn in production, carry a potential investment commitment of roughly $65.7m (3.83bn pesos) across a seven‑year exploration time frame.
The planned work includes geological and geophysical investigations – including seismic and aeromagnetic surveys – to pinpoint drillable targets and assess the possibility of native hydrogen reservoirs and new petroleum fields.
Energy Secretary Sharon S. Garin said the Department of Energy (DoE) will carry out the service contracts.
Garin said: “These service contracts signify not only our determination to secure new energy sources but also our readiness to embrace innovation and sustainability while reducing import dependence.
“From conventional petroleum to native hydrogen, we are expanding the frontiers of Philippine energy exploration.”
The PSCs were awarded through the Philippine Conventional Energy Contracting Programme after a competitive selection process that assessed legal, financial and technical qualifications.
A consortium comprising Australia-based Triangle Energy (Global), UK-registered Sunda Energy, and Philippine companies PXP Energy and The Philodrill has won PSC 80 and PSC 81.
These contracts, jointly managed by the DoE and BARMM’s Ministry of Environment, Natural Resources and Energy (BARMM‑MENRE), cover approximately 760,000 hectares (ha) (PSC 80) and 532,000ha (PSC 81) in the southern Sulu Sea.
Triangle Energy (Global) won PSC 82. Situated in the Cagayan basin, the contract covers around 480,000ha.
PSC 83 and PSC 84, both covering Central Luzon for native hydrogen exploration, were awarded to US‑based Koloma. PSC 83 covers 126,645ha and PSC 84 85,082ha.
Gas 2 Grid won PSC 85, which covers 127,475ha onshore Cebu.
PSC 86, covering 132,000ha in the Northwest Palawan Basin, was awarded to a consortium comprising Filipino-based companies Anglo Philippine Holdings, the Philodrill, PXP Energy and Forum Energy Philippines.
Based in the East Palawan Basin, PSC 87 was awarded to Israel-based Ratio Petroleum, marking its second PSC in the Philippines after PSC 76, also in East Palawan, where it carried out a 3D seismic survey in 2024.
Service contractors can begin their work programmes, which include geological and geophysical studies, seismic surveys and drilling, subject to adherence to environmental and safety standards, stated the DoE.
