Oil exploration in barangay Montpellier, Alegria town in southwest Cebu has started last Aug. 28.
“We are expecting oil and gas from the site which will be for commercial use,” said Mayor Verna Magallon said.
The oil exploration she said is being done by China International Petroleum Co. Limited (CIMP).
The oil exploration is expected to run for three to four months. “The drillling site is also safe for the residents because it is also far from their houses,” Magallon said.
She said there are small farms in the area and the Chinese firm has an agreement with the lot owners.
Magallon said they are monitoring the heavy equipment brought in the site for the safety of the workers and drillers.
If the drill is successful then the Chinese firm and the Alegria municipal government unit will sign a 60-40 sharing agreement in favor of the LGU.
“I am very positive of this. It has always been a dream of a municipality to have an opportunity like this. It will be for the benefit of everyone,” Magallon said.
The CIMP is the sixth firm that visited Alegria but the only company that started the oil drill exploration in the town. The Chinese firm recently identified barangay Montpellier for its oil exploration.
Magallon said no other barangays in the town have been identified as a possible oil site.