PRESIDENT Ferdinand R. Marcos, Jr. expects a more stable and affordable power supply with the expanded development of the Malampaya gas field and the blending of imported liquefied natural gas (LNG).
This follows the meeting of President Marcos with Prime Energy Resources Development B.V. on July, 4.
Prime Infrastructure Capital Inc.(PACI) Chairman Enrique Razon, Jr. led the presentation together with the company’s officials.
The meeting also tackled Prime Energy’s plan to look for more indigenous gas prospects, increase the supply of indigenous gas production using LNG imports, and intensify competition in the country’s gas market.
Prime Energy will administer the Malampaya Service Contract (SC) No. 38 until February 2039.
The purpose of the agreement includes the continued operation of the Malampaya gas field to reduce the Philippines’ dependence on oil imports in the coming years.
President Marcos highlighted the government’s commitment to ensuring the stability of supply, affordability, transparency, and competition in the Philippine natural gas market, particularly with the introduction of imported LNG for the first time.
Note, Prime Energy is a natural gas exploration and development company with a 45 percent operating interest in Service Contract No. 38 (SC 38), covering the Malampaya Gas-to-Power Project.
The Malampaya gas field is the only indigenous gas source in the Philippines.
President Marcos signed the Renewal Agreement of SC 38 last May 15, 2023, which will extend the contract until February 2039.
Amid the renewal of SC 38, Prime Energy plans to start the drilling activities by 2025 in the Camago and Malampaya East fields.
Meanwhile, production from a new well in the Malampaya natural gas resource is anticipated by 2026.
