Prime Energy said it is on track to deliver additional natural gas from the Malampaya field by the fourth quarter of 2026.
The update came after President Ferdinand Marcos Jr. announced the successful drilling and testing of the Camago-3 well off Palawan. The well can produce up to 60 million standard cubic feet of gas per day, adding significant supply to the country’s remaining reserves.
Prime Energy said the new well could double Malampaya’s current gas output and contains about 2.5 times more recoverable gas than the Malampaya East-1 well discovered earlier this year.
Together, the two wells are expected to extend the life of the Malampaya gas field by about six years.
The company, along with partners UC38 LLC, Prime Oil and Gas Inc., and PNOC Exploration Corp., said development work for Malampaya Phase 4 is on schedule. This includes installing new subsea pipelines—the first since 2000—to connect additional gas resources.
The project is part of an $893 million campaign to boost local gas supply and support the country’s energy security. Malampaya gas is also cheaper, costing about P4.80 per kWh compared to around P10.30 per kWh for imported liquefied natural gas.
Prime Energy’s next step is to drill another exploration well, called Bagong Pag-asa, located north of Malampaya. If gas is found, further testing will be done to determine its production potential.
The Malampaya Phase 4 project has been classified by the government as a project of national significance.
