The Department of Energy approved the work program, which includes the drilling of an appraisal well, and the budget of Palawan55 Exploration & Production Corp., a subsidiary of listed ACE Enexor Inc. for Service Contract 55 in southwest Palawan.
"Please be advised that that the company’s subsidiary Palawan55 received today a letter from the DOE approving SC 55’s appraisal period work program and budget with the firm amount of $1,702,020. Further, the DOE stated that it expects the submission of the proposed budget for the drilling of one well after the drilling proposal has been approved by the DOE," ACE Exenor said in a disclosure to the stock exchange on Friday.
Palawan55 earlier received a letter from the DOE confirming the entry of SC 55, a deep-water block located in the southwest Palawan Basin, covering an area of 9,880 square kilometers into the appraisal period effective April 26.
The SC 55 consortium is composed of Palawan 55 (75 percent) and Pryce Gases Inc. (25 percent), with Palawan 55 as the operator.