Malampaya gas supply reaches five-year high as new wells begin production
Two wells developed under the US$893-million expansion added 222 billion cubic feet of recoverable gas reserves.
Daily natural gas deliveries from the Philippines’ Malampaya field have reached 400 million standard cubic feet, the highest level in five years, following the commissioning of new wells. Operator Prime Energy Resources Development B.V. said the supply was helping meet electricity demand on the Luzon grid.
The increase followed the start of deliveries from Malampaya East-1 and Camago-3, developed through the US$893-million Malampaya Phase 4 project. The wells contributed recoverable gas reserves of 222 billion cubic feet, sufficient to produce an estimated 31.46 billion kilowatt-hours of electricity—potentially enough for around 13.11 million Filipino households for a year.
Prime Energy president and CEO Donnabel Kuizon Cruz said greater domestic gas supply could lower consumers’ electricity costs. She said increased use of Malampaya gas had coincided with a reduction in generation costs at gas-fired plants.
Located offshore Palawan, Malampaya meets about 13 per cent of Luzon’s electricity requirements. Its customers include Prime CoreGen’s gas-fired plants, with combined capacity of two gigawatts, and LNGPH’s 1,200-megawatt Ilijan plant.
Phase 4 included two deepwater wells and subsea connections to the existing production platform. Construction took 27 months after the final investment decision, finishing five months before the original deadline. The project was also the Philippines’ first offshore drilling campaign in over a decade.
