STATEMENT OF SENATOR WIN GATCHALIAN ON THE RESOLUTION OF THE US$1.1-B MALAMPAYA TAX ARBITRATION CASE IN SINGAPORE

There is no longer a legal impediment for investors to undertake oil and natural gas explorations now that the arbitration court in Singapore has finally resolved the US$1.1 billion tax case between Shell Philippines Exploration B.V. (SPEX) and the government.

The multi-billion tax case has been a big specter that discouraged foreign players from conducting petroleum explorations in the Philippines over the past several years and drove away investments in high risk, capital-intensive, and technology-intensive sectors.

With the case now behind us, it is high time for the government to aggressively pursue a "Drill, Drill, Drill" program, so that we can tap these oil and gas resources and use them to achieve Philippine energy independence and pave the way for the country to become an energy exporting powerhouse.