DOE sees more Malampaya gas discoveries

MANILA, Philippines, January 25 ------ The historic natural gas find at the Malampaya East-1 (MAE-1) may soon be followed by more breakthroughs, as the government expects initial results from two more wells by the end of this quarter. In a statement, the Department of Energy said it is closely monitoring drilling activities at the Camago-3 and Bagong Pag-asa-1 wells, aiming to strike more gas and give further boost to the country’s power supply.

The newly discovered reservoir, located five kilometers east of the existing Malampaya field offshore Palawan, is estimated to contain around 98 billion cubic feet of gas in place, equivalent to about 14 billion kilowatt-hours of electricity annually. The well can supply power to over 5.7 million households, 9,500 buildings or around 200,000 schools per year, according to President Marcos. “Driven by the President’s marching order for energy security, this discovery was delivered in record time. This will be marked in history as the first 100 percent Filipino-led indigenous gas venture,” Energy Secretary Sharon Garin said.

Based on initial testing, the well flowed at 60 million cubic feet daily, indicating high productivity comparable to the original Malampaya wells. “By strengthening our geological data and maintaining a stable, transparent regulatory environment, we are creating the conditions for responsible investments that deliver lasting benefits for Filipinos,” Garin said.

MAE-1 is the first milestone under the $893-million Malampaya Phase 4 drilling campaign, which also involves the drilling of the Camago-3 and Bagong Pag-asa-1 wells. The project is being undertaken by the Service Contract 38 Consortium led by tycoon Enrique Razon Jr.’s Prime Energy Resources Development B.V. The consortium also includes UC38 LLC, PNOC Exploration Corp. and Prime Oil and Gas Inc. In 2023, President Marcos renewed SC 38 for an additional 15 years or until February 2039, allowing the continued production of the Malampaya gas field and the drilling of nearby prospects.

Source: philstar.com