ENEX Energy Corp., formerly PHINMA Petroleum and Geothermal Inc, said Tuesday the Department of Energy has granted the request of its subsidiary, Palawan55 Exploration and Production Corp., for force majeure relief.
The relief was granted on the basis of operational and financial risks associated with conducting drilling operations under Service Contract 55 in the West Philippine Sea.
The force majeure takes effect from 6 December 2022 until such time that a clearance to proceed with exploration activities in the West Philippine Sea has been issued by the National Government.
The relief effectively suspends the service contract, particularly the obligation of the contractor to explore and drill in the area over a certain period.
The government has designated a security cluster composed of the Department of the Interior and Local Government, Department of Foreign Affairs, Department of National Defense, Department of Justice, and the Office of the Presidential Adviser on the Peace Process with the National Security Council as secretariat to determine when it is safe to explore and drill for oil or gas in the West Philippine Sea.
