'Not yet final': Gov't reviewing Shell's sale of Malampaya stake to Dennis Uy


Posted at Jun 29 2021 10:37 AM | Updated as of Jun 29 2021 10:51 AM

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MANILA - The sale of Royal Dutch Shell's stake in the Malampaya natural gas field to Dennis Uy's Udenna Corp. is "not yet final" until it complies with government requirements, the Department of Energy said Tuesday.

Shell earlier said a subsidiary of oil and shipping firm Udenna Corp. will pay $380 million for its 45 percent operating interest in the gas field, plus up to $80 million between 2022 and 2024 "contingent on asset performance and commodity prices."

"We are evaluating the financial, technical capability of the transaction. It’s in process right now. We have no decision on that yet," Energy Secretary Alfonso Cusi told ANC's Headstart.

"As far as government is concerned, it’s not yet (final) until they comply with the requirements of the government."

The transaction brings Udenna's total shares in Malampaya to 90 percent, having earlier bought out the 45-percent stake of US oil giant Chevron in 2019.

The Senate Committee on Energy will also look into the transaction, its chairman Sen. Sherwin Gatchalian earlier said.