An oil field located northwest of Palawan is set to be closed in September, Oriental Petroleum and Mineral Corp. (OPMC) said in stock exchange disclosure, Monday.
The cessation of operation for Block C-1 of Service Contract 14, or the Galoc Block, has been set on Sept. 24, according to its operator Galoc Production Co. (GPC).
This was decided after Rubicon Offshore International, which owns the floating production storage and offloading vessels used in the oil field, ended its service to the production block.
The Department of Energy (DoE), which awarded the service contract, has been notified of the move. OPMC, along with partners, is currently seeking its approval to receive an initial abandonment fund to implement its suspension plan.
“GPC has relayed its total commitment to the long-term future of the Galoc asset and is currently evaluating several scenarios to retain flexibility for the earliest possible production re-start as and when the market conditions improve,” OPMC said.
In November last year, the DoE certified GPC as an energy project of national significance. — Adam J. Ang
