DOE sees "very encouraging" oil exploration sites in Cebu

CEBU, Philippines - The Department of Energy - Energy Resource Development Bureau (DOE-ERDB) finds the ongoing seismic survey of five service contracts in Cebu “very encouraging” for oil exploration.

This was according to DOE-ERDB Director Ismael Ocampo who said the prospects of the ongoing seismic survey for oil deposits in Cebu looks positive but drilling still has to be done to be really certain that the quantity would be of commercial volume.

“You know this takes time and before drilling operations can be done, the service contractor needs to conduct tests, usually seismic survey, to make sure that the area can yield a commercial volume of oil deposits,” Ocampo said.

Ocampo was one of the guests in yesterday’s weekly Kapihan sa PIA that tackled the status updates on energy projects in Cebu including oil exploration activities.

However, Ocampo cannot give a timeline as to when such service contract operations can yield results that the oil deposits are commercially viable for production.

 Chinese firm China International Mining Petroleum Company Ltd., one of the service contractors, said they would start the remote sensing study, shore seismic data acquisition and drilling in Cebu’s southern town of Alegria including the mountain barangay of Monteller and the coastal barangays of Madridejos.

It showed that black liquid bubbled out from the soil. Locals reportedly use the soaked dirt to build fire for cooking and light.

Ocampo also said there is one in Aloguinsan town in southern Cebu but that continuous seismic study needs to be done before drilling operations can begin to ensure that large oil deposits really exists.

 “Even the city of Bogo has been found to have a deposit of natural gas which can produce 1.3 MW of power which is quite significant already,” Ocampo said but added that it would probably take five to six years before production can be commercially tapped.

Ocampo said their agency is gearing for an aggressive campaign on energy-related projects including oil explorations within domestic shores, exploiting renewable energy sources and alternative fuels with the end-goal of attaining energy self-sufficiency and stability.

 “We need to increase our oil production with the rising cost of fuel in the global market which we are helpless because we are totally dependent on imported fuel,” Ocampo said.

He also pointed out that the Philippines imports 300,000 barrels of fuel per day because its local production is only 6,500 barrels per day. – (FREEMAN)