OREANDA-NEWS. August 10, 2011. THREE Chinese firms, including the state-owned China National Offshore Oil Co., have expressed interest in bidding for exploration contracts within the Spratly Islands, Energy Undersecretary Jay Layug said.

The Chinese firms were looking at 15 areas being offered for bidding sometime in the first quarter of 2012, he said.

“I guess it’s their decision to bid and that they recognize that these areas are within Philippine territory,” Layug said.

“I don’t think there’s a question on their side as to who owns the area. It’s a question whether they could get the service contract.”

Layug said China National Offshore Oil was awaiting approval of its farm-in agreement with PNOC Exploration Corp. for service contract 57, which covers 7,200 square kilometers in northwest Palawan and west of the Calamian Islands.

“It’s been pending approval since the past administration, so we’re fast-tracking it,” Layug said.

“Apparently, there were issues in the past, but we’re resolving the issues. Hopefully, in the next three weeks we can already endorse the approval of the farm-in.”