Prime Energy Resources Development B.V., a subsidiary of businessman Enrique Razon Jr.’s Prime Infrastructure Capital Inc., said Wednesday it reached a pivotal milestone in the Malampaya Deep Water Gas-to-Power Project in northwest Palawan after receiving the Energy Project of National Significance (EPNS) certification from the Department of Energy (DOE) for its Malampaya phase 4 project.
Phase 4 entails the drilling of the Camago and Malampaya East production wells, dubbed “Project Sinagtala,” and the drilling of the Bagong Pag-asa exploration well.
Projects granted EPNS status consistent with the policy thrust and implementation of the Philippine Energy Plan (PEP). The citation allows for faster regulatory approvals of energy projects in the country, imperative in advancing energy security and over-all nation building efforts.
This certification reinforces Malampaya’s crucial role in securing the Philippines’ energy future and highlights its national significance. The project is operated under Service Contract No. 38 (SC 38) in collaboration with consortium partners UC38 LLC, PNOC Exploration Corp. and Prime Oil and Gas Inc.
“We are honored to receive the EPNS certification from the Department of Energy. This milestone reaffirms Malampaya’s importance in securing the Philippines’ energy future. As we advance with Phase 4, our focus remains on ensuring sustainable and reliable energy for millions of Filipinos,” Prime Energy president and chief executive Donna Kuizon Cruz said.
The Malampaya phase 4 is a key initiative to extend the gas field’s life and sustain the country’s energy requirements. It aims to extend gas production through two additional wells, extending the Malampaya field’s operational capacity and mitigating the Philippines’ reliance on imported fuels.
“The acceleration of Malampaya Phase 4 is critical to ensuring energy security and preventing potential power shortages in the future,” Cruz said.
The Malampaya gas project has contributed over $13.8 billion to the Philippine government since its commercial operations began in 2001.
The project remains a cornerstone of energy security and economic development, fueling as much as 40 percent of Luzon’s energy demand at its peak and continues to power about 20 percent of its current requirements.
Cruz acknowledged the critical partnerships that enabled the progress of phase 4, noting that the continued success of the Malampaya project is made possible through strong collaboration between the private sector and the government.
“With the EPNS certification in place, Prime Energy and the all-Filipino consortium is committed to working closely with the government to meet the nation’s growing energy demands and ensure a more secure and sustainable energy future,” she said.
Cruz said indigenous natural gas is the cleanest, most climate-resilient fossil fuel for power generation, supporting the transition to a low-carbon economy.
