MANILA, Philippines – Forum Energy Plc., a British oil and gas exploration company with focus on the Philippines, said its net loss widened to $2.75 million in the first half of the year, from $1.67 million recorded in the same period in 2012.
Forum Energy, which is 60.49-percent owned by corporate taipan Manuel V. Pangilinan’s Philex Petroleum Corp., reported higher revenues during the period at $2.24 million, up from $1.35 million a year ago.
“This increased revenue reflected the fact that the Galoc field operated normally throughout the period whereas it did not operate for the first four months of 2012 whilst the facilities were being refurbished,” Forum Energy said.
The temporary closure of the Galoc oil field in Palawan in the early part of 2012 resulted in a decrease in production to 5,410 barrels of oil per day from 6,637 bopd in 2011, data from the company showed.
Forum Energy said it is still unable to commence drilling in its main project, Service Contract 72 in the Sampaguita oil field in the disputed Recto Bank in the West Philippine Sea.
Forum Energy noted that it has been granted an extension to August 2015 to complete the second sub-phase obligations of drilling wells on SC 72.
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The Department of Energy has extended the company’s work program by two years to August 2015 from the original deadline of August 2013 to allow it to complete its obligations under the service contract.
Forum Energy sought an extension in the government-mandated work program because of delays in their drilling activities, dragged largely by the geopolitical issues between the Philippines and China.
“The directors continue to review the funding options required for the SC 72 drilling program,” Forum Energy said.
The company is also working on the second phase of development of its Galoc project.
“Forum Energy participated in the Galoc Phase 2 development which is progressing on schedule with the first oil expected in the fourth quarter of 2013,” it said.