South China Sea Forum

[BoQ77]

Philippines offers oil, gas exploration area in waters disputed with China
Fri May 9, 2014 4:55am EDT


By Erikdela Cruz

MANILA, May 9 (Reuters) - The Philippines on Friday launched a tender for exploration rights in 11 oil and gas blocks, including one in a disputed area of the SouthChinaSea that is likely to fuel further tension with China.

China claims virtually all of theSouth ChinaSea and is already involved in a dispute with Manila over a Chinesefishingboat that was seized this week in the Spratly Islands on suspicion its crew was poaching protected turtles species.

Beijing is also in the middle of a stand-off over an oil rig it has moved into waters claimed by Vietnam.

Philippine energy officials sought to downplay the issue of territorial dispute with China in offering to investors the so-called Area 7 in Reed Bank - or Recto Bank as it is known in the Philippines. The Area 7 block, like the rest of the South China Sea, is believed to hold huge oil and gas deposits.

Manila calls the South China Sea the West Philippine Sea.

"The area we are offering in the West Philippine Sea is very near Palawan," Energy Undersecretary Ramon Allan Oca told Reuters, referring to the southwestern Philippine province.

The area is also near the Malampaya offshorenatural gasoil field operated by a local unit ofRoyal Dutch Shell.

"From thepoint of viewof the Philippines, it is not a disputed area," Oca said. "Area 7 is within the Philippines' exclusive economic zone."

China, the Philippines and Vietnam, along with Malaysia, Taiwan and Brunei, all claim parts of the South China Sea.

It was in the Reed Bank where a 2011 confrontation between Chinese navy vessels and a survey ship contracted by London-listed Forum Energy Plc - a unit of Philippine exploration firm Philex Petroleum Corp - led to a halt in oil andgas explorationwork in the Sampaguita block.

Area 7, according to the Philippines' Department of Energy (DOE), holds an estimated resource potential of 165 million barrels of oil and about 3.5 trillioncubicfeet (tcf) ofnatural gas. Water depths range between 800 and 1,700 meters.

"As we live withininternational laws, we seek all diplomatic recourse to assert our claims to the areas in the West Philippine Sea," Energy Secretary Carlos Jericho Petilla told potential investors in a speech at the launch of the 5th Philippine Energy Contracting Round.

The Philippines is also offering 15 blocks forcoalexploration, which Petilla said are all within the country's territory.

Most of the oil andgas explorationblocks are located near the Philippines' main island of Luzon, while most of the coal blocks are in southern Philippine provinces. Ten of the 11 oil and gas block on offer are offshore.

Interested investors have until February next year to decide which oil and gas or coal areas they want to bid for.

Petilla said three potential areas forpetroleum explorationhave been "temporarily" excluded from the list of blocks offered because they fall within areas covered by a peace deal signed in March between the government and the Moro Islamic Liberation Front, the country's largest Muslim rebel group.

Forum Energy holds Service Contract 72 issued by the Philippine government covering the Sampaguita block in the Reed Bank. The block is estimated to have 20 tcf of natural gas, much bigger that Malampaya's estimated reserves of 2.7 tcf.

Forum Energy has yet toresume workin the area after the earlier shipping dispute involving the Chinese navy. (Reporting by Erik dela Cruz; Editing by Tom Hogue)

 

[zDragonFlyz]

Do you guys think that Vietnam will one day request direct support from the US or India to counter China? Like Japan, Philippines etc?

We don't want to do that. We want to be a friend of China. But with all the actions from the invasion in 1974 to today, I don't think China let us to be its friend, they force us to ask for support from US allies. So, my answer is, if we are forced to go to war, we will request supports from Japan, India... etc... We just need to fight. In addition, there not always are countries that are willing to take some blood from China, many other countries will be happy with it (since china have so many enemies), so I think their will be supports for us.

China pushed us to the US's side. And now China is wondering why we are not in its side. How ironic.

Now we are changing into NATO cartridge. We just made a victory parade with US guns. It's the sign.

 

[xunzi]

Mr. cake eater, you are gravely mistaken if you think because America buys your things that they need you or will defend you. Americans do not have a myopic world view.

The US has a duty to protect free trade principle. If any one state unilaterally block free trade flow, that state will be the enemy of global trade. Since we are P5, we will certainly make this loud and clear to our P5 peer to respond. Otherwise, the whole UN and trade system will break down. Chaotic will ensure afterward. You want to see jungle style world, don't you my friend? LOL

 

[xunzi]

1. According to what you have signed for (UNCLOS 1982), your territorial water extends 12 miles from the baseline of your shore. Your 200 nm EEZ even doesn't extend to that location. So, no overlapping with your legal.
2. Again. No overlapping with your legal right.
3. Ok. You did obey, like the pig can fly. Problem solved.

Clueless Vietnamese about UNCLOS, don't you? LOL The question is whether Paracel has its own EEZ and that according to international law and neutral experts is yes. Search it up.

 

[VietHome]

The US has a duty to protect free trade principle. If any one state unilaterally block free trade flow, that state will be the enemy of global trade. Since we are P5, we will certainly make this loud and clear to our P5 peer to respond. Otherwise, the whole UN and trade system will break down. Chaotic will ensure afterward. You want to see jungle style world, don't you my friend? LOL

Funny uttering the word "protecting global trade" when your country is the sole instigator of disrupting global trade by claiming the entire sea for yourself. Everyone and their dogs know you want to control the SCS to put a knife on the throat of Japan, Korea, and Taiwan, because all these countries need resources, especially oil to survive. Controlling the SCS is controlling the whole Asian Pacific, pure and simple.

 

[VietHome]

Aggressor and started twisting facts... You are the one sending military helo and fighter jets against China coastguard.
The world and China will teach the aggressor a lesson.

Two newest Chinese warships are monitored and taken picture by US Navy on international water close to the conflict area. These two are ready to "jump" in when situation is not in Chinese favor.

Two Vietnam Coast Guard vessels are under emergency repair after being rammed by Chinese ships

Extended clip on Chinese ship ramming Vietnamese vessels on 05/06/2014

Yesterday, PRC ordered seven warships into the area, inside Vietnam EEZ to intimidate Vietnamese Coast Guard ships protecting its territorial water. This video captured two Chinese warships, the first one is the fast missile attack craft 753, and the second one is the Type 053H1 frigate 金华 534.

Attack craft 753

金华 534

 

[GuZidi]

we kicked your *** to run back to China and france.

Bad mouth, what you say is illogical of comprehending the real "deal" here.

 

[Rechoice]

It is not even long ago, like 30 years ago, that the US supported their friend, British, fought a battle over Falkland. Imperialism still exist with double-face West. We did not increase our territorial gain since the formation of UNCLOS. Not even one inch.

Read again your post, you stated that china would like to use gun, canon, muscle strength to solve the disputes with your neighbors. China does the same US and Britain did. Its bad face.

But story of FalkLand dispute is not the same here in SCS.

The population (an estimated 2,932 in 2012) primarily consists of native, the majority of British descent .Mr. Camoron PM of UK said he is ready for referendum for people in Falkland to decide the Island belong to UK or to Argentina.

 

[SouryaKharb]

According to me making relationship bitter with neighbor countries is not good for China. This kind of behavior can be very harmful for China. Yes, China is very powerfully country this days. But it doesn't mean they can do whatever they want. China is breaking international laws.

 

[eazzy]

Wonder what the US will say ?

 

[Raphael]

They still deny their genocidal history (Reason for sympathy with Japan)

That's an angle I hadn't considered before. They say vultures of a feather flock together.

 

[Rechoice]

Bad mouth, what you say is illogical of comprehending the real "deal" here.

what is real deal you said here ?, politely PLA went home, isn't it ?

 

[Rechoice]

Clueless Vietnamese about UNCLOS, don't you? LOL The question is whether Paracel has its own EEZ and that according to international law and neutral experts is yes. Search it up.

Vietnamese people were living in Paracel before china occupied whit force. EZZ of Paracel belong to Vietnam, not China. Paracels is closer to Vietnam than China.

 

[cnleio]

The only thing China should do, is to build more HD981.

 

[kankan326]

Why would China sacrifice her territory and interest to please neighbors? If Vietnam gives up those islands, China would be very happy to be best buddy of Vietnam.

Vietnam is small and weak country compared to China. But weak is not bound to be innocent.