PXP Energy Corp., the upstream oil and gas firm led by businessman Manuel V. Pangilinan, sank deeper into the red in 2025 as falling crude output and weaker oil prices slashed revenues due to strain from its aging Galoc oil field. However, the company is banking on new exploration wins to turn its fortunes around.

The listed firm reported on Monday a consolidated net loss of P80.4 million in 2025, nearly triple its P28.6 million loss in 2024. Net loss attributable to equity holders widened to P77.5 million, while core net loss reached P50.2 million.

PXP said the weaker results were “primarily due to lower production volumes from the Galoc Field, softer crude prices, and higher financing and foreign exchange-related charges.”

Petroleum revenues, on the other hand, dropped to P49.8 million, down 26 percent from P67 million, as sales volume fell 16.9 percent to 414,124 barrels and average realized crude prices declined to $70 per barrel from $80 per barrel.

The Galoc Field remained the company’s lone producing asset, but output declined as the field aged.

PXP noted that Galoc operations continued to contribute to production, “albeit at lower levels, as the field remains at a mature stage of its life cycle.”

Expenses edged higher to P94.7 million, while non-operating charges increased due to higher provisions for plug and abandonment, impairment, interest expenses, and foreign exchange losses.

Despite the losses, PXP secured new exploration acreage during the year, including service contracts in the Sulu Sea and northwest Palawan, and signed a new contract covering the Galoc Field to ensure continuity of production.

The company said it will focus on managing liquidity, funding exploration commitments, and advancing key assets, while continuing to monitor market conditions and financing options.