Metro Manila (CNN Philippines, January 12) — The government said it will take into consideration the recent Supreme Court ruling that nullified a 2005 energy exploration deal when it resumes talks with China on possible cooperation over oil and gas in disputed waters.
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The Department of Foreign Affairs (DFA) on Thursday said it is carefully studying the court’s decision declaring as void the tripartite agreement for Joint Marine Seismic Undertaking (JMSU) among state-owned oil companies of the Philippines, China, and Vietnam, which involve an area in the South China Sea.
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The deal was signed during the Arroyo administration and expired in 2008. It was ruled as unconstitutional earlier this week for allowing wholly-owned foreign corporations to participate in the exploration of Philippine natural resources without observing constitutional safeguards.
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“The Department’s actions and policy recommendations are, at all times, anchored on the Philippine Constitution and laws,” the DFA said.
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“Cases decided by the Supreme Court form part of our legal system, and the Department is duty-bound to take applicable cases into consideration in any future discussion with China on oil and gas,” its statement added.
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In the meantime, however, the agency said it is still premature to discuss the verdict’s legal implications on any future agreement with China.
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It added that both countries are still in the process of setting parameters that will guide any oil and gas talks.
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Recently, President Ferdinand Marcos Jr. himself told Beijing that Manila wants to resume negotiations on a joint oil and gas venture in the West Philippine Sea — something the Duterte administration began in 2018 but terminated last year.
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Void deal ‘important’
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China, for its part, maintained that the JMSU “played an important role in promoting stability, cooperation, and development in the region.”
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“It was an important step by the three countries to implement the DOC (Declaration on the Conduct of Parties in the South China Sea) and a useful experiment for maritime cooperation between parties to the South China Sea,” Chinese Foreign Ministry spokesperson Wang Wenbin said in a press conference on Wednesday.
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Despite the high court’s ruling, he said Beijing will continue to actively explore ways for “practical maritime cooperation,” including energy exploration with Manila.
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“During Philippine President Marcos’s recent visit to China, the two sides agreed to bear in mind the spirit of the Memorandum of Understanding on Cooperation on Oil and Gas Development signed in 2018 and resume discussions on oil and gas development at an early date, building upon the outcomes of the previous talks, with a view of benefiting the two countries and their peoples,” Wang told reporters.
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Meanwhile, fisherfolk group Pamalakaya said the Supreme Court decision strengthens calls against any efforts to revive such negotiations.
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“The Marcos administration should adhere and recognize this ruling by way of actively asserting our sovereign rights against China’s aggression,” it said Thursday.
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The group earlier reported that many Filipino fishermen are still unable to fish freely and lose a sizable amount of income due to the continued presence of Chinese forces in Philippine waters.
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“We now have two strong legal bases to assert our territory; the International Tribunal on the Law of the Sea that recognizes our exclusive economic zone in the West Philippine Sea, and the SC decision declaring the unconstitutionality of joint venture with China,” Pamalakaya pointed out. “The Marcos administration has no reason not to actively uphold our national sovereignty.”
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