Malaysia-based firm takes stake in Galoc
MANILA, Philippines –Independent energy company Matahio Energy has acquired NPG Pty. Ltd. in a bid to continue its expansion in Southeast Asia and produce more oil in the Galoc oil field.
In a statement, Matahio said its acquisition of NPG Pty. Ltd., which holds a 78.8- percent participating interest in Service Contract (SC) 14C-1, would allow the company to explore opportunities in the Galoc oil field.
“The Galoc field is an important part of Matahio’s growing portfolio. The field’s lifting costs are remarkably low for a late-life offshore field and can provide stable cash flow for many years to come,” said Wai-Lid Wong, Matahio Energy chief executive officer.
The 14C-1 block, which covers the Galoc oil field, has an area of 164 kilometers and is located 60 kilometers offshore northwest Palawan. Galoc is the Philippines’ largest oil producing oil field.
Matahio said it could add 1.8 million barrels of probable reserves, with net production of 1,200 barrels of oil per day. Since starting operations in 2008, Galoc has produced over 24 million barrels.
The company also acquired a legal entity that wholly owns the floating production, storage and offloading (FPSO) vessel Intrepid Balanghai, which is stationed at the Galoc field.
“The transaction also includes full technical and operational teams, based in the Philippines and Kuala Lumpur, who have delivered strong health, safety and environment and production performance, as well as significant cost optimization in recent years,” Matahio said.
Wong likewise said its ownership of the FPSO Intrepid Balanghai “adds further scope to manage Galoc’s late-life costs and in the future unlock currently stranded fields.”
