Moratorium on oil, gas exploration at West Philippine Sea stays
By
Lenie Lectura -
November 7, 2016
THE moratorium on oil and gas exploration at the West Philippine Sea (WPS) stays, despite the improving relations between the Philippines and China.
“The moratorium, as of now, stays,” Energy Secretary Alfonso G. Cusi said, when asked if the moratorium would be lifted anytime soon.
He said Manila and Beijing still need to clear certain issues concerning the conflicted area. “There is conflict; so, hopefully, it would be clarified,” Cusi said.
He added that conflicting issues were not officially discussed during President Duterte’s recent trip to China. “There was no opportunity,” he said. When asked if Duterte and concerned Chinese officials discussed this, Cusi said: “That is best answered by the presidential spokesman.”
Cusi added that the conflict would be addressed “diplomatically” by the Department of Foreign Affairs, which, Cusi stressed, is in the best position to do so.
Cusi reiterated that the Philippines abides by its commitment to pursue a peaceful resolution of disputes in the South China Sea and promote peace and stability in the region through diplomacy and consultations.
Forum Energy Ltd. has a 70-percent stake in Service Contract 72, an oil-and-gas exploration permit covering the Sampaguita natural-gas prospect at the Reed Bank, to the west of Palawan.
Early in 2015, the government declared “force majeure” on the license. As a result, the second subphase of the petroleum contract, which involves drilling two wells, was put on hold until further notice.
In July the Philippines won an arbitration case against China over the South China Sea. In particular, the Philippines has exclusive sovereign rights over the West Philippine Sea and that China’s “nine-dash line” was invalid, according to the United Nations (UN) Arbitral Tribunal.
Forum Energy could still not resume any exploration activities until the government or the Department of Energy (DOE) gives its green light.
Recently, Philippine fishing boats have been allowed to enter the contested Scarborough Shoal on the South China Sea.
The DOE earlier said it is evaluating the actions related to the ruling made by the UN body.
