Polyard Petroleum International Group signed an agreement on Jan. 10 to purchase oil from the Alegria onshore discovery in Cebu.
Polyard unit China International Mining Petroleum Company Ltd., operator of service contract 49, owns majority of the Alegria discovery in South Cebu.
“Currently, GA Oil is mobilizing its oil trucks to prepare for a hauling of at least 150 barrels of crude oil on a daily basis at the end of January,” Polyard said.
CIMP discovered an estimated 27.93 million barrels of oil with a possible production recovery of 3.35 million barrels or a conservative estimate of 12 percent of total oil in reserves.
Pilipinas Shell Petroleum Corp. earlier expressed interest to acquire crude oil from the Alegria oil and gas onshore discovery in Cebu for its Batangas refinery.
“We are always evaluating whatever may be feasible. What is tricky is if it is compatible to our refinery and is the pricing sufficient for us to make margins, but we are open-minded,” said Pilipinas Shell president Cesar Romero earlier.