President Ferdinand Marcos Jr. announced the country’s first major natural gas discovery in more than a decade, a find that could extend Malampaya’s life and steady electricity supply.
In a video message shared online, Marcos said the discovery underscores renewed momentum in domestic energy exploration and investment, as the government seeks to cut import dependence and protect consumers from volatile fuel prices.
The newly drilled Malampaya East-1 well lies about five kilometers east of the existing Malampaya field and is estimated to contain about 98 billion cubic feet of gas in place. That volume translates to nearly 14 billion kilowatt-hours of electricity annually, enough to power more than 5.7 million Filipinos, 9,500 buildings, or close to 200,000 schools each year.
Initial flow tests showed production of around 60 million cubic feet per day, a level comparable to the original Malampaya wells and a strong signal of commercial viability. Beyond gas, the reservoir also holds condensate, a high-value liquid fuel that can help stabilize generation costs and support grid reliability.
Marcos emphasized that the offshore drilling was led by Filipino engineers and workers and completed with zero accidents or environmental incidents, highlighting growing local technical capability.
The find strengthens Malampaya’s role as the backbone of the country’s gas-fired power plants while reinforcing energy security for years ahead. It is part of the Malampaya Phase 4 drilling campaign, which also includes Camago-2 and Bagong Pag-asa.
Next steps include completing and testing Camago-3 and drilling the Pag-asa exploration well to unlock additional resources, under Service Contract 38 led by Prime Energy with UC38, PNOC Exploration Corporation, and Prime Oil & Gas Inc.
Industry observers expect faster approvals and fresh capital to follow soon.
