In 2009, China International Mining Petroleum Co. Ltd. (CIMP Co. Ltd.) was granted Petroleum Service Contract No. 49 allowing the firm to explore and drill oil in Alegria.[5] Six other firms had considered conducting oil exploration in Alegria. On August 28, 2014, CIMP Co. Ltd. became the first firm to commence oil exploration in Alegria. The operation, which was done to determine if the town had commercially viable oil reserve, was expected to last three to four months.[6]
CIMP Co. Ltd. and the Philippine Department of Energy later established that the area contained commercial quantities of natural gas when they discovered an oil accumulation in the adjacent hydrocarbon traps within the underground area of the town of Alegria, Cebu.[5] The commercial viability of the field was formally declared when the two parties signed a Joint Declaration of Commerciality on March 14, 2018.[7]
Sometime in 2018, CIMP Co. Ltd. signed a sales and purchase agreement with Tom's Power Petroleum Distributor Inc.. By early May 2018, production tests has been made with two wells already producing 180 barrels per day.[2]
Production
According to the Philippine Department of Energy, oil produced from the Alegria field will only be made available for the Philippine market. Bunker oil produced from the field may be used for local refineries.[8]
Estimate
Before any extraction begun, it was estimated that the Alegria oil field had an oil reserve of 27.93 million barrels with a probable production recovery of 3.35 million barrels. The Alegria field is also a natural gas field hosting an estimated 9.42 billion cubic feet of natural gas. It is estimated that the reserves will last until 2037.[7]
