Food and beverage giant San Miguel Corp. announced Monday it signed a preliminary agreement with Qatar Telecommunications Co. (Qtel) to explore opportunities in the Philippine telecommunications sector.

In a statement, San Miguel said it has inked a memorandum of understanding with Qtel for a joint venture focusing on wireless broadband and mobile communications projects.

"The strategic agreement will see the two companies begin exploration in the wireless broadband, mobile and mobile broadband sectors in the Philippines and to review potential areas of cooperation for the extension of access to broadband Internet technology," said San Miguel.

Executives of both companies met with President Gloria Arroyo who witnessed the signing of the accord in Doha Qatar over the weekend.

"We see huge opportunities for growth and partnership within the Philippines," QTel chairman Abdullah Bin Mohammed Bin Saud Al Thani remarked.

Qtel, an integrated telecommunications player based in Qatar, has an aggregate subscriber base of 55 million from 16 countries where it has GSM and WiMax services.

In May 2008, Qtel acquired Liberty Telecom Holdings Inc., a publicly listed holding firm whose subsidiaries provide wireless voice and data communications services.

San Miguel, on the other hand, is eyeing to acquire up to 60 percent of Liberty Telecom, its president Ramon Ang confirmed in recent reports.

San Miguel has been on a shopping mode lately given its strong cash position after previous asset divestments here and abroad. It clinched a total of about P36 billion direct and indirect stakes in Meralco, the country's biggest power retailer, and is about to acquire a majority stake in oil giant Petron Corp.