Australia-listed Sacgasco Ltd. said it raised A$630,000 from investors in Australia to fund the development of its oil and gas exploration in Palawan.
Sacgasco’s local unit Nido Petroleum Philippines Pty. Ltd. is involved in the exploration of the government’s service contract 6B (SC6B) in Palawan’s Cadlao field.
Sacgasco said the fund will be used to drill wells and conduct associated extended well tests in the area.
SC6B is estimated to hold 2 to 20 million barrels of oil each.
In January, Nido Petroleum told the Environment Management Board of the Department of Environment and Natural Resources that a three- to four-well development plan may require $8 million in spending.
Nido Petroleum also said the first phase of the project will involve the extended well test over three to nine months using a mobile offshore production unit (MOPU) and floating storage, and offloading unit.
The second phase will involve an additional one to three wells with the possibility of changing the MOPU for a small wellhead pressure and storage barge with lower operating costs.
