The Department of Energy has certified the $600-million Malampaya Phase 4 project of tycoon Enrique Razon as one of “national significance,” entitling it to accelerated regulatory approvals.
Prime Energy Resources Development B.V., operator of the Malampaya natural gas facility off northwest Palawan, said the energy project of national significance (EPNS) certification “reaffirms Malampaya’s importance in securing the Philippines’ energy future.”
READ: Razon-led consortium investing $180M to extend Malampaya life
Article continues after this advertisement“As we advance with Phase 4, our focus remains on ensuring sustainable and reliable energy for millions of Filipinos,” said Prime Energy president and chief executive officer Donna Kuizon Cruz.
FEATURED STORIES BUSINESS East DR Congo grapples with Chinese gold mining firms BUSINESS Building a nation of homeowners: SMDC turns over first vertical socialized housing in Iloilo City BUSINESS BIZ BUZZ: Ares invests in Belo Medical Group“The acceleration of Malampaya Phase 4 is critical to ensuring energy security and preventing potential power shortages in the future,” Cruz added.
The Malampaya Phase 4 project involves the drilling of the Camago and Malampaya East production wells, and the Bagong Pag-asa exploration well.
Article continues after this advertisementThe project seeks to boost the capacity of the gas field, hoping to reduce the local market’s reliance on imported fuels, including coal, diesel and liquefied natural gas.
Article continues after this advertisement SC 38Prime Energy, together with consortium partners UC38 LLC, PNOC Exploration Corp. and Prime Oil and Gas, Inc. is undertaking this project under Service Contract No. 38 (SC 38).
Article continues after this advertisement“With the EPNS certification in place, Prime Energy and the all-Filipino consortium are committed to working closely with the government to meet the nation’s growing energy demands and ensure a more secure and sustainable energy future,” Cruz said.
READ: Bright prospect seen for new Malampaya wells
Article continues after this advertisementIn August, the group tapped Dutch firm Allseas Nederland to link the two new wells to the Malampaya Shallow Water Platform.
Earlier this year, American offshore drilling company Noble was contracted to drill two deep water development wells.
Malampaya, which supplies 20 percent of Luzon’s power needs, is located 50 kilometers off northwest Palawan and sits within the country’s exclusive economic zone.
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Since starting commercial operations more than two decades agoace291, Malampaya has so far contributed more than $13.8 billion to the Philippine government.
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