FEC Resources is a Canadian holding company that acts as a passive investor in the Philippine energy sector. The company's primary asset is a 6.80% stake in Forum Energy, a private UK entity focused on oil and gas exploration. FEC Resources has no independent operations and generates no significant revenue, relying on loans from its parent PXP Energy to fund its activities. Forum Energy’s principal asset is a 70% interest in Service Contract 72 (SC 72) at Recto Bank, which contains the Sampaguita natural gas discovery. SC 72 is under force majeure due to a security clearance dispute in the West Philippine Sea. Once lifted, Forum Energy must drill two commitment wells, which will require external capital or a farm-in partner. Forum Energy also holds a 4.69% interest in the Galoc Oil Field, its only producing asset. Galoc is in natural decline and is expected to reach the end of its economic life within two years. Other holdings include a 66.67% indirect interest in SC 40 at North Cebu and several minority stakes in other exploration blocks. The value of FEC Resources depends on Forum Energy's ability to resolve geopolitical issues surrounding SC 72 and develop the Sampaguita resource. The business model involves FEC Resources funding its share of Forum Energy's activities through debt provided by PXP Energy while seeking to monetize its Philippine oil and gas portfolio.