Philippine's PNOC Exploration Corporation said Thursday it had proposed a Peso 5.25 billion ($121 million) budget to its parent company that would go to support several petroleum and coal projects.
The budget has not yet been approved by state-owned Philippine National Oil Company.
The plan includes a total capital investment of Peso 4.55 billion, which would be used for the Malampaya gas project, other petroleum and coal exploration projects, and the planned Malangas and Isabela power plants. PNOC EC, which started its international oil trading business in 2009, is also now planning to venture into Philippine's downstream sector.
The company is looking at setting up a tank farm on the island of Luzon and distributing imported petroleum products in the domestic market, the company said.
The company also plans to begin operations on its Lumbog coal project in the province of Zamboanga Sibugay. The Lumbog project is the first in a series planned over the next five years aimed at increasing coal reserve inventories for a planned 50 megawatt power plant in the area.
PNOC EC intends to allocate around Pesos 818 million for the development of the Lumbog project -- part of its Coal Operating Contract 41, Malangas Coal Project -- with first production set for the second quarter of 2012.
