The discovery offers some relief for a country that has long sought to expand LNG import capacity as domestic gas production from Malampaya declines. While the find does not eliminate the Philippines’ growing reliance on imported gas, it strengthens near-term supply security and underscores the importance of continued domestic exploration.
President Ferdinand Marcos Jr. said on Monday that drilling at the Malampaya East-1 well, located around five kilometers east of the existing Malampaya field offshore Palawan, has confirmed a new gas-bearing reservoir estimated to contain roughly 98 billion cubic feet of gas in place.
According to the President, the discovery could translate into around 14 billion kilowatt-hours of electricity annually, enough to supply power to approximately 5.7 million households for a year. Initial well testing showed production rates of 60 million cubic feet per day, suggesting high productivity comparable to the original Malampaya wells.
In addition to natural gas, the MAE-1 well also encountered condensate, a high-value liquid hydrocarbon that can support efforts to stabilize power supply and reduce fuel import exposure.