Rufus urges energy dept to allow drill for gas in Recto Bank

CAGAYAN de Oro City 2nd District Rep. Rufus Rodriguez on Wednesday urged the Department of Energy (DOE) to immediately allow exploration activities for its service contractor in Recto Bank for it to fulfill its contract obligations.

Rodriguez said the DOE should allow immediate exploration in Recto Bank off Palawan, which is within the country’s 200-mile exclusive economic zone (EEZ).

He argued that the energy department’s service contractor, Forum Energy, can proceed to do its obligations under its contract to explore the area.

Forum Energy is a subsidiary of PXP Energy Corporation, chaired by Manny V. Pangilinan.

The Philippine government suspended the proposed extended seismic survey and drilling at the Recto Bank until a “mutually acceptable framework” with the Chinese government is formulated regarding the exploration and development of resources in the areas of the West Philippine Sea (WPS).

“We understand that Forum Energy is raring to explore Recto Bank for gas and oil. We support the contractor’s plan to go into exploration activities. We call on the DOE to give its go-signal,” Rodriguez said.

Rodriguez likewise urged other concerned agencies such as the Department of National Defense (DND) to help with the company’s contract obligations.

“[Forum Energy] are doing it not just for themselves but for the nation and the national interest,” Rodriguez said.

Reports suggest that the resource potential of the said service contract in Recto Bank is estimated at 165 million barrels of oil and 3.4 trillion cubic feet of gas.

The Mindanao lawmaker further pointed out the Recto Bank is believed to hold significantly more gas and oil reserves compared to the Malampaya gas project, also in Palawan.

Currently, the Malampaya gas field is the only domestic commercial source of natural gas in the country.

The Malampaya concession is due to expire in 2024 and will become commercially unviable by 2027.

“Recto Bank will be our replacement for Malampaya,” Rodriguez said.

“If Malampaya dries up without gas being extracted from Recto Bank, power plants in Luzon would be forced to use more expensive fuel,” said Rodriguez adding that will result in an increase in the cost of electricity in Luzon, which will not be good for all of us and the government of President Ferdinand R. Marcos.