Malampaya Gas Field Extension: A New Chapter in Energy Security

Prime Energy Resources Development B.V., under the Razon Group, has embarked on a strategic $69.9 million venture with American drilling firm Noble to prolong the operational life of the Malampaya gas project in the Philippines. Noble’s advanced drilling vessel, “Noble Viking,” is set to penetrate the depths of the Camago and Malampaya East fields, with plans to explore a new well, Bagong Pag-asa, further north.

This initiative represents a crucial phase in exploiting additional gas reserves within and adjacent to the existing field, with Noble’s dual-well drilling technology promising efficiency and speed. The endeavor aligns with the broader goal of enhancing the Philippines’ energy self-sufficiency, as echoed by Noble’s senior vice president, Blake Denton, highlighting the project’s significance in bolstering national energy security.

The collaboration follows Prime Energy’s acquisition of a significant stake in the Malampaya project, continuing the legacy of Shell Philippines Exploration B.V. alongside consortium partners Udenna Group’s UC38 LLC and the Philippine National Oil Co.-Exploration Corp. This partnership not only aims to maintain the steady supply of indigenous gas but also to shield the local market from global energy price fluctuations.

With the Malampaya gas-to-power project fueling approximately 20 percent of Luzon’s electricity, the contract extension until 2039 marks a sustained commitment to energy reliability in the region. The consortium’s substantial financial contributions to the Philippine government further underline the project’s economic and strategic value.

As preparations for drilling in 2025 progress, Prime Energy’s approach reflects a long-term vision for energy sustainability and stability in the Philippines, emphasizing the importance of indigenous resources in shaping the nation’s energy future.