Israeli company Ratio Petroleum Ltd. will now be able to conduct exploration of Area 4 offshore block located in the northeastern flank of the East Palawan Basin after President Rodrigo Duterte signed Petroleum Service Contract No. 76 covering the said location.
President Duterte signed PSC 76 on October 17. Ratio Petroleum Ltd. President and CEO Itay Raphael Tabibzada represented the company during the signing event.
According to the Department of Energy (DOE), the offshore block covers approximately 416,000 hectares with water depths ranging from 200 to 2,000 meters, and a sedimentary thickness of around 3,000 to 5,000 meters. About 540 line-kilometers of 2D seismic data traverse the block.
“Although Area 4 is located in a frontier setting, there are direct and indirect indications of hydrocarbon charge. Out of the four (4) wells drilled nearby, Dumaran-1 and Paly-1 wells have exhibited oil and/or gas shows. Moreover, a number of hydrocarbon seepages have been recorded in the basin and compelling direct hydrocarbon indicators (DHIs) are seen on the East Palawan seismic data,” DOE said.
“The estimated resource potential of the block is 1,230 million barrels of oil, and 2,062.75 billion cubic feet of gas,” it added.
DOE noted that projected minimum total expenditure is valued at US$34,350,000 to be derived from studies, data gathering and drilling activities over the initial seven-year contract duration.
According to DOE Ratio Petroleum, established in 1992, has a number of large-scale operations at the Levant Basin in the Eastern Mediterranean Sea, off the coast of Israel, as well as off-shore operations in the Republic of Malta and the Co-operative Republic of Guyana.
Sources: https://www.doe.gov.ph/press-releases/ph-inks-oil-exploration-deal-israeli-firm; https://www.doe.gov.ph/area-4-east-palawan