The Malampaya gas field would last beyond 2024, Department of Energy Secretary Alfonso Cusi said Tuesday.
“There will still be reserves beyond 2024… It will continue to supply gas beyond 2024. There will still be inventory to be extracted, and that would still supply the requirement,” Cusi said during a Senate hearing on the DOE’s proposed P2.15-billion budget for 2021.
“2024 is the expiry of the concession agreement that is being evaluated. We are going to deal with the service contract, whether it will be extended and whether it will be terminated,” he added.
Cusi added DOE is also processing the preparation of liquefied natural gas (LNG) terminals to meet the Philippines’ energy requirements in the future.
“We have already the LNG terminal that we have issued the notice to proceed. There are five gas terminals that applied with us to ensure that there will be continuity on the supply of gas, whether from an indigenous source or from imports,” he said.
The DOE chief said the country is aspiring to be a hub of LNG in the ASEAN region.
“Of course we are going to compete against Singapore and Thailand also who made [the] pronouncement that they would like to be the ASEAN hub, but we have a geographical strategic advantage, and we will try to capitalize on that,” he said.
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Malampaya gas field reserves will last beyond 2024 – DOE chief
The Malampaya Gas field is located 80km off Palawan Island’s coast, in the Republic of the Philippines.
In August 1998, Shell Philippines Exploration BV awarded Brown & Root a $432m design, procurement, fabrication, installation, and commissioning contract of the Malampaya gas field.
“Shell Philippines Exploration BV is the project operator. The joint venture partners in the project are Chevron Malampaya LLC (45%) and PNOC Exploration Corporation (10%). Malampaya project was developed and is being operated by Shell Philippines Exploration on behalf of the joint venture partners,” its website said.
“Philippine Department of Energy led the development. In October 2001, the project was inaugurated at the onshore gas plant in Batangas. The platform consists of a deck, supported by a concrete gravity sub-structure (CGS),” it added.