Energy exploration firms apply for 5 concessions

Nine companies from here and abroad are seeking energy exploration service contracts in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) and other parts of the Philippines, the government said Wednesday.

In a statement, the Department of Energy (DOE) said it conducted on Tuesday the opening of bids for the first BARMM Conventional Energy Bid Round and the 2024 Philippine Bid Round.

READ: DOE expects strong turnout for BARMM exploration bid

The DOE noted that out of eight predetermined—as opposed to independently identified—prospective areas, six received bids.

The agency described the number of bids as “a significant increase that reflects heightened interest from the industry.”

Further evaluation

Three proposals were submitted for the development of BARMvM’s energy resources— especially petroleum—in the Cotabato Basin and two areas in the Sulu Sea Basin.

The applications were “deemed qualified for further substantive evaluation,” the DOE said.

As for the 2024 Philippine Energy Bid Round, the DOE received five applications for the exploration of native hydrogen—gas that naturally occurs in geologic formations —exploration in Central Luzon. These bids are moving forward for further evaluation.

READ: Opening up of BARMM to investments cheered

An offer to explore the Alegria oil and gas field in Cebu, however, failed due to incomplete documentation.

The DOE refused to disclose the names of the bidders when asked.

“We are very pleased that well-known international players in hydrogen and petroleum exploration and production have shown interest and participated in this year’s bid round,” said Undersecretary Alessandro Sales.

“This activity marks the beginning of a transformative journey that may span several years. If we do not embark on this activity now, it will never come to fruition,” he added.

The next phase of the auction would determine if the qualified applications would secure service contracts.

According to the DOE, the comprehensive legal, technical, and financial evaluation of all qualified applications will be completed in the fourth quarter of 2024. The highest-ranking applicants from this evaluation will be endorsed to the Office of the President.

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