Otto Energy Gets Philippines Oil, Gas Block

Otto Energy has been named as the preferred bidder for Area 7, an offshore oil and gas block located in the southern part of the Mindoro Basin, under the Fourth Philippine Energy Contracting Round.

Upon execution, Otto will commit to reprocessing the existing seismic study with a minimum financial commitment of $0.5 million within an initial period of 18 months.

Area 7 covers around 8,440 km 2 with water depths ranging from 100 metres to 1,300 metres. There is an existing 2D seismic data set of over 3,000 kilometres covering the block.

Oil has been discovered with an Extended Production Test conducted in 1994 at the Maniguin wells near the block. The occurrence of oil seepages in the Mindoro Island region also confirms the presence of an active petroleum system in the area.