PXP Energy Corp. widened its net loss in the first six months to P11.2 million from last year’s P6.3 million on the back of higher costs and expenses.
It reported 3 percent higher consolidated costs and expenses totaling P48.7 million from only P47.3 million and to higher petroleum production costs in Service Contract 14C-1 Galoc of another P25.4 million from P23.6 million despite lower overhead expenses of only P23.3 million from P23.7 million.
Consolidated petroleum revenue also stood 12.64 percent lower to P39.4 million from P45.1 million even with the extraction of 301,339 barrels at $79.57 per barrel versus last year’s 291,216 barrels at $97.13 per barrel in Galoc.
The company said it will continue to coordinate with the government on the resumption of activities at the stalled Service Contracts 75 and 72 due to force majeure that started in April last year.
PXP holds a 50 percent interest in SC 75 in Northwest Palawan and 70 percent participating interest in SC 72 also in Northwest Palawan. Both are inaccessible due to the continuing territorial dispute with China.
PXP said it will continue to pursue exploration work at its other projects in the Philippines, including SC 40 in Northern Cebu and SC 74 also located in Northwest Palawan.
Earlier PXP sought Department of Energy (DOE) approval on three SCs for oil and petroleum resources, including one in Northwest Palawan that was formerly part of SC 6A and an additional location east of the area.
PXP had said its Recto bank service contract will undergo a new 2D seismic data assessment and a marine gravity and magnetic data while that other service contract in the Sulu sea offered for bidding by the DOE in 2019 will need a reprocessing of its 3D seismic data.
The company is preparing for the drilling of a well in Palawan by the fourth quarter next year under service contract 6-B Bonita block.
