PXP Energy turns P561-M debt into Forum shares
PXP Energy Corp., an upstream oil and gas firm, will convert about P561 million in loans into equity in subsidiary Forum Exploration, Inc. (FEI) to trim debt.
For this purpose, 561 million in new common shares, priced at P1 apiece, would be issued to Forum Energy Philippines Corp. (Fepco).
Once completed, Fepco’s interest in FEI will jump to 91.65 percent from 66.67 percent.
“The conversion is intended to strengthen FEI’s balance sheet and improve its capital position by reducing outstanding obligations,” the company disclosed on Tuesday.
Currently, FEI has a full operating interest in Service Contract (SC) No. 40 located in Northern Cebu.
Earlier this month, the Manuel Pangilinan-led PXP Energy saw its net loss deepen by 50.7 percent in 2025, dropping to P50.2 million, as it suffered from declining production and cheaper crude prices.
Consolidated net loss attributable to equity holders of the parent company also posted higher losses at P77.5 million versus the previous P30.9 million.
PXP Energy said its petroleum revenues dropped 25.6 percent to P49.8 million from P67 million. Sales volume decreased to 414,124 barrels against 2024’s 498,168 barrels.
Crude prices likewise booked a 12.5-percent decrease to $70 per barrel from $80 a barrel.
But the group is keeping its optimism, particularly after receiving three petroleum service contracts from the government last year. These include SC 80 and 81 in the Sulu Sea, and SC 86 (Octon-Malajon Block) in Northwest Palawan.
SC 86 covers the Octon Block in Northwest Palawan, an area adjacent to established producing oil fields.
