Push Admin

Article (news)

PNOC eyes increasing stake in Malampaya

Davinci Maru, ABS-CBN News

<div class="embed-wrap"><figure data-feedback="fb:likes,fb:comments"><img src="https://sa.kapamilya.com/absnews/abscbnnews/media/2018/news/12/04/20181203_shell.jpg"/><figcaption>Malampaya gas-to-power project. Handout</figcaption></figure></div>MANILA – The Philippine National Oil Company (PNOC) said Tuesday it was studying the possibility of increasing its stake in the Malampaya gas field following Chevron’s divestment of the project.“We are studying the possibility of actually getting more because of the possible sell of Chevron,” PNOC Reuben Lista said during a Senate hearing on issues surrounding Service Contract 38 or the license for the Malampaya project.Its upstream oil, gas and coal subsidiary PNOC-Exploration Corporation holds a 10-percent interest in the water gas-to-power project, which provides about a fifth of the country’s electricity needs.Chevron sold its 45-percent share of the project to Dennis Uy’s Udenna Corp. for $565 million in March 2020. However, the transfer of participating interest in the contract will need regulatory approval for the sale to be completed, the Department of Energy (DOE) said.Shell Philippines Exploration B.V. (SPEX), which operates the gas field and holds a 45-percent stake, is also exploring options to divest its shares as part of an &quot;ongoing portfolio rationalization.&quot;<ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/03/11/20/dennis-uys-udenna-completes-acquisition-of-chevrons-malampaya-stake">Dennis Uy&#x27;s Udenna completes acquisition of Chevron&#x27;s Malampaya stake</a></li>	<li><a href="https://news.abs-cbn.com/business/09/23/20/shell-eyes-sale-of-malampaya-stake-as-part-of-portfolio-rationalization">Shell eyes sale of Malampaya stake as part of &#x27;portfolio rationalization&#x27;</a></li></ul>PNOC-EC president Lt. Gen. Rozzano Briguez said part of their long-term plan was the possible takeover of the Malampaya field operation.“That&#x27;s part of the long-term plan we have because since we join the Malampaya, we already train our own people in order that we have the technical capability,” he said.But the government-owned and controlled operation (GOCC), which is mandated to take the lead in exploration, development and production of the country’s oil, gas and coal resources, is not yet capable of handling Malampaya.“However, currently, technically and financially, we are not yet capable of taking over such big operations because in our own estimates it would take about 2 more contracts or operations this magnitude before we can really operate deep see water explorations projects,” Briguez said.For PNOC-EC to become an operator, the company will need 10 more years and must participate in 2 large-scale projects, he added.During the hearing, former PNOC president Eduardo Mañalac said the company must take hold of Chevron’s interest instead of Udenna, saying it would maximize the benefits of the government.He said the PNOC could earn P17 to P22 billion more per year, which are the revenues lost by the government by allowing private parties to take over.According to his presentation, Chevron and Shell, with much higher interest, both earned P22.5 billion in 2019 compared to PNOC’s P4.9 billion.

The Philippine National Oil Company (PNOC) said Tuesday it was studying the possibility of increasing its stake in the Malampaya gas field following Chevron’s divestment of the project.

The Philippine National Oil Company (PNOC) said Tuesday it was studying the possibility of increasing its stake in the Malampaya gas field following Chevron’s divestment of the project.

PNOC eyes increasing stake in Malampaya

News

Entertainment

Lifestyle

Sports

Metro.Style

More

Traffic

Manila

Horoscope

Business

PNOC eyes increasing stake in Malampaya

Davinci Maru,

ABS-CBN News

Published Nov 10, 2020 04:48 PM PHT

Read More:

Malampaya gas field

Malampaya gas-to-power project

Malampaya Palawan

Philippine National Oil Company

PNOC

Philippine National Oil Company-Exploration Corporation

PNOC-EC

Chevron

Shell

Udenna

ABS-CBN is the leading media and entertainment company in the Philippines, offering quality content across TV, radio, digital, and film. Committed to public service and promoting Filipino values, ABS-CBN continues to inspire and connect audiences worldwide.

Corporate

Investors

Governance

International Distribution

Corporate

Governance

Investors

International Distribution

NPC Seal of Registration

Privacy Policy

AI Policy

Terms of Service

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2025 ABS-CBN Corporation. All Rights Reserved.