PXP Energy Q1 loss widens to P9.38M

PANGILINAN-LED upstream oil and gas firm PXP Energy Corp. saw its first-quarter attributable net loss widen to P9.38 million from P2.61 million due to lower revenues and higher operating costs.

In a stock exchange disclosure on Thursday, PXP Energy reported petroleum revenue of P20.4 million for the January-to-March period, down by 22.4% from P26.3 million in the same period in 2024.

PXP Energy said the revenue decline was due to a 20% drop in oil output sold, totaling 157,381 barrels, and a 5% decrease in the average crude oil price to $76.30 per barrel under Service Contract (SC) 14C-1.

SC 14C-1 is a block that contains the producing Galoc Oil Field, located offshore northwest Palawan. The oil field has yielded approximately 24.2 million barrels since production started in October 2008, according to PXP Energy.

The company logged total costs and expenses of P29.80 million for the first quarter, marking a 10.13% increase from P27.06 million in the comparable period last year.

PXP Energy said petroleum production costs rose by 6.6% to P17.30 million during the first quarter, while general and administrative expenses climbed to P12.49 million.

For this year, PXP Energy said it is continuing to explore the feasibility of the Dalingding prospect under SC 40, located onshore in northern Cebu.

The company and its joint venture partners are also expecting the awarding of Predetermined Areas PDA-BP-2 and PDA-BP-3, both located offshore in the southwestern portion of the Sulu Sea basin.

These two areas have been designated for petroleum exploration.

Meanwhile, the company said it is also looking to resume exploration activities under SC 72 and SC 75 despite the extended force majeure declared by the Department of Energy.

The Recto Bank concession under SC 72 is located in the West Philippine Sea, west of Palawan Island and southwest of the Shell-operated Malampaya Gas Field.

PXP holds a total economic interest of 54.36% in SC 72, while Forum GSEC 101 Limited holds a 70% participating interest. Forum GSEC 101 is a subsidiary of Forum Energy Limited, in which PXP holds a combined direct and indirect interest of 79.13%. PXP also holds a 50% interest in SC 75, located offshore northwest Palawan. — Revin Mikhael D. Ochave