PNOC to decide on C. Sulawesi gas block in November

Philippines state-owned PNOC-Exploration Corp. said Tuesday it will decide whether or not to purchase a stake in an Indonesian gas block by November this year, Dow Jones Newswires reported Wednesday.

If PNOC-Exploration gives the green light for the project, then it would mark its first foray in overseas exploration.

"We're doing due diligence on the block right now," Rufino Bomasang, president and chief executive of PNOC-Exploration was quoted by Dow Jones Newswires as saying on the sidelines of the Gasex 2002 conference in Brunei.

"We hope to be able to make a decision on this onshore block in central Sulawesi by November," he added.

Exploring for natural gas in Indonesia is part of the Philippine government's wider plan to develop its nascent natural gas industry and reduce the country's dependence on and expenditures for imported energy sources.

Bomasang said PNOC-Exploration and Pertamina will seek other partners to help them develop the block.

PNOC-Exploration, which is a unit of Philippine National Oil Co., will explore for natural gas in Indonesia which can be piped or converted to liquefied natural gas, or LNG, for domestic Philippine consumption, Bomasang added.

LNG from the Indonesian block could be transported to a planned receiving terminal in Bataan, he said.

While some of the gas may be used to fuel a planned petrochemical cracker in Bataan, most will be used for power generation. (*)