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PSIC 2019 · Sub-class
09102

Oil and gas extraction activities not performed on a fee or contract basis

Capped at 40%

Oil and gas extraction activities not performed on a fee or contract basis.

Excludes

  • Service activities performed by operators of oil & gas fields (class 0910 exclusion) 0610
  • Specialized repair of mining machinery (class 0910 exclusion) 3312
  • Liquefaction and regasification of natural gas for transport, done off the mine site (class 0910 exclusion) 5221
  • Geophysical, geologic and seismic surveying (class 0910 exclusion) 7110

Foreign ownership

Capped at 40%

Foreign equity in this activity is capped at 40% under the Negative List. A local corporation with structured local control is the usual route to the local market.

Legal basis: FINL A.16 · Section 2, Article XII of the Constitution

Recommended route

Local corporation, structured control

Foreign equity up to 40%, with a structured local-control arrangement

Joint venture

A Filipino partner holds the balance above the 40% ceiling

Compare all company structures

Registration path

  1. 1

    SEC

    Incorporate the entity

  2. 2

    BIR

    Tax registration and books

  3. 3

    LGU

    Barangay clearance and Mayor’s permit

  4. 4

    Regulator

    Sector license, if the activity needs one

Emerhub files each step with the government; you provide the documents and information.

Minimum paid-up capital

SituationUSDPHP
Domestic-market enterprise (>40% foreign)Paid-up capital for foreign equity above 40% serving the local market. Legal basis: FIA (RA 7042 as amended).$200,000≈ ₱11.4M
Reduced thresholdAt least 50 direct employees, or advanced technology. Legal basis: FIA (RA 7042 as amended).$100,000≈ ₱5.7M
Export enterpriseExports at least 60% of output. Legal basis: Corporation Code (RA 11232).≈ $88₱5,000

Bold is the figure the law sets; the other column is an approximate conversion at ₱57 to USD 1.