MANILA, Philippines – Basic Energy Corporation (PSE:BSC) updates on the status of Mabini Geothermal Project as of December 15, 2016.

In a disclosure to the Philippine Stock Exchange (PSE), Angel Gahol, Basic Energy Compliance Officer, reports that a 3.5-inch casing string has been installed at a depth of 660 meters successfully. The project, which was located at San Teodoro, Mabini, Batangas, will also cover maintenance of rig and related equipment before drilling resumption. The drilling operations would ensue until a depth of 1500 meters is met.

Earlier this month, it was reported that the oil and gas exploration company has sought the green light from the Department of Energy (DOE) in unloading its 80 percent stake in Desco Inc.’s geothermal service contract (GSC).

According to BSC, the company received the approval from the authority on the assignment deed and farm-in agreement with Desco. The deal is inclusive of Desco’s acquisition of 80 percent undivided participating interest in the privilege, duties, rights, and obligations covered by Iriga geothermal project. Conclusively, the deal puts all the geographical survey costs and activities to Desco.

The drilling of first well will be covered by Desco 100 percent. The succeeding wells, on the other hand, will be shared pro-rate between BSC and Desco. The former will provide 20 percent of the costs, whereas the larger share or 80 percent would be paid by Desco.

The Iriga Geothermal project is situated at Iriga, Camarines Sur. The northern portion of the site is confined by Philippine National Oil. Co.-Renewables Corp.’s Isarog Geothermal block. The east is bordered by AP Renewables Inc.’s Tiwi geothermal service contract.

Basic Energy Corporation was incorporated on September 19, 1968 under the name Basic Enterprises, Inc. The primary purpose of the company is to explore oil and gas, which commenced on April 26, 1971. In 1972, the company changed its name to Basic Petroleum and Minerals, Inc. From an operating company, the firm became a holding business named Basic Consolidated, Inc. In 2007, the firm included biofuels and ethanol in its production line.

The holding firm changed its name to the present one alongside its addition of alternative and renewable energy sources development. It held equity capitalization in a number of companies, such as Basic Biofuels Corporation, Basic Diversified Industrial Holdings, Inc., iBasic, Inc., Basic Geothermal Energy Corporation, and Basic Ecomarket Farms, Inc. DOE also granted BSC with five service contracts for geothermal energy exploration and development in Camarines Sur, Batangas, Bataan, Albay, Sorsogon, and Mountain Province among others.

Source: https://www.stocksignals.ph/local-news/2016-12-16/basic-energy-reports-on-mabini-geothermal-project/