Pitkin Petroleum has signed Farm-in Agreement and Deed of Assignment, which entail acquisition of 70 percent participating interest in Service Contract 6A off northwest Palawan. Pitkin will now own 500 square kilometers of 3D seismic data, worth $5 million. However, the agreements are now awaiting go ahead from the Department of Energy.

The farm out parties involved in the agreement are Philodrill, Trans-Asia Oil and Energy Development Corp., Philex Petroleum Corp., PetroEnergy Resources Corp., Forum Energy Philippines Corp., Anglo-Philippine Holding Corp., and Alcorn Gold Resources Corp.

Pitkin, can also, on its own expense, drill up to two exploration wells within the Octon block, which is reportedly laden with 3 billion cubic feet of recoverable natural gas reserves. The consortium that is now operating the block have revealed plans of spending $546,000 for its work program this year alone.

Tags: Pitkin Petroleum