By MYRNA M. VELASCO Davao businessman Dennis A. Uy’s Udenna Corporation has completed the 45 percent stake acquisition in the Malampaya deep water gas-to-power project that it purchased from American giant Chevron Corporation. The value of the transaction, as previously disclosed to the media by Energy Secretary Alfonso G. Cusi was at US$565 million. The closing of the transaction happened following the approval granted to it by the Philippine Competition Commission. The shareholdings buy in the country’s only commercial gas field had been through Udenna’s subsidiary UC Malampaya Philippines Pte Ltd. “This strategic move enables Udenna to become a joint venture partner in an energy asset of national significance,” the company has noted in a statement to the media. Uy, for his part, noted that “we see immense potential in natural gas, the fuel of the future, and we are optimistic and excited to bring its full benefits to the Filipinos.” Udenna will essentially be in bed with partners Shell Philippines Exploration B.V., the field operator; and minority shareholder Philippine National Oil Company-Exploration Corporation (PNOC-EC) for the venture – at least until the expiration of the field’s service contract in 2024. Uy’s entry into the gas field venture is seen coming at a very unpropitious time with many global oil and gas companies suffering from financial crunch; and the Malampaya field is also expected at production decline starting year 2022 – or the remaining two years of its operating contract life, unless the government gives its nod to the targeted 15-year license extension. In Chevron’s case, it was reckoned that the company ‘cashed in’ with a premium from the transaction and that warrants it to be laughing all its way to the bank. Relative to this farm-in deal by Uy in the commercial gas field, state-run PNOC-EC has earlier announced plan to increase its stake in the gas project by cornering the equivalent 10 percent of the 45% interest acquired by Udenna. That will command fresh investment of US$56.50 million on PNOC-EC’s part; and that would then hike its stake in the project to 14.5 percent from currently at 10-percent. The propounded buy-in of PNOC-EC was reportedly approved December last year, but the transaction has yet to be firmed up also with its new partner in the Malampaya project.