Philippines – Korea Inked ₱3 Billion Puerto Princesa Airport Modernization

World 7 Wonders of Nature - Puerto Princesa world's longest navigable Underground river.

The gateway to one of the Philippines' trendiest destinations will soon get a makeover.

 

The declaration of Palawan's Underground River as one of the "7 New Wonders of the World" has drawn record numbers of tourists to the nation's westernmost province.

 

But their introduction to the province is a congested backwater airport.

 

This may soon fade as a bygone era, with a recently signed agreement between Seoul and Manila.

 

South Korea agreed to support the development and rehabilitation of Puerto Princesa Airport by providing a $71.6-million loan ₱2,968,894,000.00 Billion pesos as official development assistance or ODA.

 

Philippines and South Korea signed last month the loan agreement covering the financial side of giving the Puerto Princesa Airport a makeover – officially called the Puerto Princesa Airport Development Project of the Department of Transportation and Communications (DOTC).

 

The Department of Finance on Wednesday said that Finance Secretary Cesar Purisima signed the agreement on August 23 on behalf of the Philippine government. Export-Import Bank of Korea (KEXIM) chairman and President Yong Hwan Kim signed on behalf of the Republic of Korea.

 

The money would finance the construction of a new passenger terminal with facilities and a new access road.

 

Part of the money will also help improve the runway and finance navigational aids to cover the increasing number of domestic and international flights to and from Puerto Princesa.

 

Once complete, the project is expected to revitalize the transport and trade linkages within the Brunei Darussalam, Indonesia, Malaysia and the Philippines-East ASEAN Growth Area or BIMP-EAGA, Purisima said.

 

The $71.6-million loan (₱2,968,894,000.00 Billion pesos) is the second deal KEXIM and the Philippine government signed this year.

 

A $207.88-million loan agreement for the Jalaur River Multipurpose Project Phase II of the National Irrigation Administration was clinched last month between KEXIM and the Philippine government.

 

GMA News 

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Benham Rise Oil and Gas Exploration to begin 2013 - call for seismic data

Benham Rise is thought to be rich in Natural Gas, Petroleum and Oil. Indonesia is one of the largest supplier of coal in the Philippines released the information for their planned of cease of exporting raw coal products to the Philippines by 2013.

 

The Philippines needs to suffice itself by producing its own coal and should stop dependence from Indonesia.

 

The DOE is in no choice than to start exploring the indigenous coal, petroleum, and natural gas sources in the unexplored rich resource Philippines calling for seismic data to roll out the bidding for exploration in 2013.

 

The Department of Energy (DOE) is looking to bid out portions of the 13-million-hectare Benham Rise in the eastern Luzon Seaboard for oil and gas exploration projects next year.

 

But the DOE will first have to secure seismic survey data to encourage investors, an official said.

 

The DOE, along with other government agencies, is also fasttracking the permitting process for other petroleum projects as the Philippines is largely underexplored compared with its Southeast Asian neighbors.

 

"Now that [Benham Rise] is ours, it might be a good time to acquire seismic data," DOE Undersecretary Jose Layug, Jr. said in a briefing.

 

"It would be nice to do it alongside Philippine Energy Contracting Round (PECR) 5," he added.

 

In April, the 13-million-hectare continental shelf off the east coast of Luzon, near the provinces of Aurora and Isabela, was declared by the United Nations as part of Philippine territory.

 

The area, which is also known as Benham Plateau, is a deepwater fishing ground for deepwater fish like bluefin tuna. It is also believed to be rich in natural gas and manganese nodules.

 

In 2008, the Philippines filed the claim in the area, which is an extinct volcanic ridge.

 

However, the DOE needs preliminary data assessing the resources in the Benham Rise.

 

"For us to be able to offer those areas for PECR, we need data," Layug said.

 

Environment Secretary Ramon Paje earlier said the Benham Rise might contain mineral and gas deposits like those in the Reed Bank in the disputed West Philippine Sea.

 

In the PECR 4 that offered 15 oil and petroleum areas, the DOE received 20 bids for 11 areas. All four areas that failed to secure bids lacked seismic data, Layug said.

 

Specifically, four firms are interested to conduct seismic surveys in the eastern side of the country, Layug said.

 

The DOE previously allowed Western Geco International Ltd. to conduct a $3-million seismic study in 2002, Digicon Berhad in 1992 and Singapore-based Petroleum Geoservices Asia Pacific Ltd. in 1996.

 

Geophysical surveys like seismic studies can indicate features in the oil and petroleum reservoir. However, the DOE lacks funds and financial resources to conduct the surveys on its own.

 

Through the seismic data, a company can propose how many wells they plan to drill to measure resources.

 

On a larger scale, the DOE and other government agencies are continuously implementing reforms identified by the Philippine Upstream Petroleum Task Force that was created by Executive Order 60 last year.

 

"We have a lot of key agencies here because based on what we have seen is when we look at all permits needed to be secured if you're going to conduct exploration activity, at least 200. If you are a foreign investor, you have to secure 200 permits so we try to streamline," Layug said.

The permitting process usually takes one year to obtain, which the task force expects to cut by half by the end of the year, he said.

 

Prior to exploration projects, companies need to secure numerous environmental, national and local permits.

 

Layug said the Philippines is competing with its neighbors in securing capital for exploration purposes.

 

Other efforts of the government include local and international roadshows and efficiency in managing service contracts.

 

To date, there are 27 service contracts in the Philippines involving Shell Philippines Exploration, Nido and BHP Billiton. However, only the Malampaya and Galoc oil fields are in regular production.

 

The DOE is pursuing energy independence and sustainability through the development of indigenous energy resources like coal, petroleum and natural gas.

 

ABS-CBN News

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