PXP Energy acquires 100% of Peru-based exploration firm

Manuel Pangilinan-led PXP Energy Corp. now holds a 100-percent interest in Pitkin Petroleum Ltd.
In a disclosure, PXP Energy said it acquired a 46.57-percent interest in Pitkin, a United Kingdom-registered upstream oil and gas company with operations in Peru, making it a wholly owned subsidiary.

“The transaction was implemented through a share repurchase arrangement with the minority shareholders for a cash consideration amounting to $3.5 million,” it said.

The latest deal is in line with PXP Energy’s continued efforts to streamline the corporate structure of subsidiaries involved in overseas oil and gas exploration projects.

Incorporated in 2007, PXP Energy directly and indirectly owns oil and gas exploration assets here and abroad.

Pitkin has a 25-percent stake in Block Z-38 in the Tumbes basin offshore northwest Peru.

“The block license is currently in the third exploration period and preparations are currently underway for drilling subject to rig availability,” said PXP Energy on its website.

Aside from Pitkin, PXP Energy holds a 79.13-percent controlling stake in Forum Energy Ltd., another British upstream oil and gas company with focus on the Philippines.

Forum is the operator of Service Contract (SC) 72 in Recto Bank, which covers the Sampaguita natural gas discovery and is located in the West Philippine Sea, near the Malampaya gas field.

PXP Energy earlier said it would continue coordinating with the government for the resumption of exploration activities in SC 72 and 75. The latter is situated in Northwest Palawan spanning 6,160 square kilometers.