PNOC-EC president steps down over Russia oil firm deal

The president of state-owned Philippine National Oil Co. – Exploration Corp. has stepped down from his position after he was reported to have been suspended for signing a deal without the go-signal from the company’s board and Energy Secretary Alfonso Cusi.

PNOC-EC president and CEO Pedro Aquino Jr. told GMA News Online on Tuesday that he submitted his resignation on Monday, Oct. 14.

“I was asked by the President [Rodrigo Duterte] to submit my resignation,” Aquino said.

His resignation was effective Monday, Oct. 14.

Duterte's spokesman, Salvador Panelo, confirmed that Aquino was fired due to "loss of confidence."

A report on Super radyo dzBB said the president's move was also in line with his anti-corruption campaign and as proof that there are no sacred cows in his administration.

In a separate statement, Senator Sherwin Gatchalian said Aquino was suspended for approving a memorandum of agreement with a Russian on developing multilateral cooperation in oil products and trading, and joint participation in oil refining.

In June 2017, a trilateral agreement was signed by PNOC-EC, Rosneft Oil Co., and Pionaire Finance Ltd. at an International Economic Forum in St. Petersburg, Russia.

The document lays the basis for the development of multilateral cooperation in oil and products trading as well as for joint participation in oil refining projects.

In particular, Rosneft and PNOC announced their intention to sign a strategic long-term contract in the near future for the supply and delivery of crude oil to the Philippine company, according to a press statement posted on Rosneft’s website. —VDS, GMA News