Malampaya Gas Field Exceeds Export Capacity Amid Grid Demands in Philippines

Malampaya gas platform (Credit: Prime Energy)
Malampaya gas platform (Credit: Prime Energy)

Prime Energy has informed that the Malampaya offshore gas field in the Philippines was able to deliver more than its export capacity as the grid of the country’s Luzon island was placed on red and yellow alerts.

Prime Energy, operator of the Malampaya project, said gas supply to customers peaked at 290 million standard cubic feet per day (MMSCFD). The total is against the current maximum capacity of Malampaya wells at 262 MMSCFD.

“When needed by the grid, Malampaya was able to reliably deliver even more than export capacity. Malampaya was able to deliver on demand because all producing wells were available and there was sufficient reserve in the gas export pipeline.

“The system reliability and availability of Malampaya in March was 100%. Malampaya has long maintained top-quartile reliability performance,” said Donnabel Kuizon Cruz, Managing Director and General Manager of Prime Energy.

Under a red alert status, power supply is insufficient to meet consumer demand and the transmission grid’s regulating requirement. A yellow alert status meanwhile is issued when the operating margin is insufficient to meet the grid’s contingency requirement.

Malampaya supplies indigenous fuel to four gas-fired power plants in Batangas - Santa Rita, San Lorenzo, San Gabriel and Avion, and 20% of Luzon’s electricity requirements.

Prime Energy has committed to drill two deepwater development wells in the Camago and Malampaya East fields, as well as a third exploration well, Bagong Pagasa, approximately 15 kilometers north of Malampaya.

OneSubsea, a Schlumberger company, has been contracted by Prime Energy for the supply of wellheads, christmas trees (control equipment), and subsea production system for the new drilling campaign.

The company also awarded a contract to Noble Corporation for its drillship Noble Viking, which will be deployed on a three well drilling campaign on Malampaya-Camago field, starting in second quarter in 2025.

“We have just contracted the drilling vessel that will come in next year and drill three new wells: two development wells and one exploratory well. Bagong Pag-asa will be the exploratory well. We’ll be spending over $750 to $800 million over the next couple of years to try to extend the life of Malampaya as far as we can. It’s a very critical asset, of course, for the nation,” Guillaume Lucci, Prime Infra President and CEO, said earlier.

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