South China Sea: ‘Possible’ Joint Exploration with China Before Term Ends

President Ferdinand Marcos Jr. stated on Friday, August 14, that joint oil and gas exploration in the West Philippine Sea between the Philippines and China could begin before his term concludes in 2028. Speaking at a luncheon with foreign correspondents in Manila, Marcos emphasized that the nation requires additional energy supplies and must take advantage of available possibilities in the West Philippine Sea and other locations.

Diplomatic Exchanges and the Middle East Crisis Context

Negotiations regarding joint energy exploration have a long history between the two countries. According to Marcos, the ongoing war in the Middle East—specifically involving the United States and Israel’s war on Iran—alongside the subsequent closure of the Strait of Hormuz, serves as an impetus to reach an agreement. The Philippines sources over 98% of its oil and petroleum from the Middle East, making it among the countries worst affected by the waterway’s closure for oil exports to Asia. In the weeks after the war launched in late February, Manila scrambled to find alternative energy sources.

Diplomatic efforts gained traction following a meeting between diplomats in late March 2026, where initial exchanges took place. Marcos noted that discussions have moved forward while working through several early issues regarding the terms of reference, determining whether the arrangement will function as a joint venture or remain merely commercial.

Did You Know?
Recto Bank and other sectors of the West Philippine Sea are thought to hold petroleum and power reserves.

Maritime Tensions and Regional Flashpoints

The push for energy cooperation coincides with President Marcos’s stated desire to reset ties with Beijing following years of heightened tensions. Disagreements and maritime clashes frequently occur in the West Philippine Sea, which is a portion of the South China Sea that includes the Philippines’ exclusive economic zone (EEZ). Marcos explained that this diplomatic reset aims to lower the level of tensions and language exchanged during maritime disputes.

Flashpoints in the region regularly include the Bajo de Masinloc (Scarborough Shoal) and Ayungin (Second Thomas) Shoal. In late July, a confrontation erupted between Philippine troops and the China Coast Guard after the latter moved toward the decaying warship BRP Sierra Madre, which functions as a Philippine military outpost. Days later, the China Coast Guard used water cannons against their Philippine counterparts in Bajo de Masinloc. Beijing asserts sovereignty over nearly the entirety of the South China Sea and dismisses the pivotal 2016 Arbitral Award, which validated Manila’s rights and entitlements inside its exclusive economic zone.

Frequently Asked Questions

When did President Marcos state that joint exploration could begin?
President Marcos stated on Friday, August 14, that joint exploration could potentially begin before his term ends in 2028.

Why is the Philippines seeking alternative energy sources?
The Philippines sources over 98% of its oil and petroleum from the Middle East and was among the countries worst affected by the war on Iran and the closure of the Strait of Hormuz, prompting a scramble for alternative sources after the war launched in late February.

What is the legal status of the South China Sea according to international rulings?
The landmark 2016 Arbitral Award affirmed the Philippines’ entitlements and rights within its own EEZ, though China claims almost all of the South China Sea and rejects the award.

How do you think commercial energy agreements will impact ongoing maritime disputes in the region?

Marcos: PH sovereignty top priority in joint oil exploration talks with China | ANC

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