Prime Infrastructure Capital Inc. is banking on expanded Malampaya gas production and large-scale pumped storage hydropower projects to strengthen Philippine energy security, reduce exposure to volatile fuel prices and accommodate a growing share of renewable power.
President and CEO Guillermo Lucci said two new production wells added about 200 billion cubic feet of gas to the Malampaya field, extending its operating life to 2034 and reinforcing the importance of indigenous natural gas in the country’s power supply.
Speaking at the Brazil-Philippines Business Forum panel on energy transition and strategic connections in Global South industry, Lucci said the deepwater drilling program took about 27 months from start to completion, demonstrating the technical capabilities of Filipino workers and engineers.
“We extended the life of Malampaya to 2034 and we executed this deepwater drilling in record time,” he said.
Continued domestic gas production would help shield the Philippines from sharp swings in imported fuel prices, while providing a more stable power supply as the country increases its use of intermittent renewable energy, Lucci said.
“What it does for the country is that it allows us to stabilize the grid and absorb renewables at scale,” he said.
Beyond gas production, Prime Infra is developing two large pumped storage hydropower projects, including a 1,400-megawatt facility targeted for completion by 2030.
Lucci described the project as set to become the world’s largest variable-speed pumped storage facility.
Unlike conventional hydropower, pumped storage functions as a large-scale energy storage system. It uses excess electricity to pump water to an elevated reservoir, then releases the water through turbines to generate power when demand rises or renewable generation declines.
The technology can help balance the grid as solar and wind output fluctuates, addressing one of the major challenges in expanding renewable energy without compromising electricity reliability.
Lucci said the investments also create opportunities for closer cooperation with Brazilian companies, particularly in power technologies, engineering and operating expertise that could strengthen electricity systems.
He said Prime Infra’s experience in developing energy infrastructure could contribute to exchanges between the two countries as they pursue more reliable and sustainable power systems.
