President Ferdinand Marcos Jr. revealed that the Philippines has discovered natural gas and condensate near the Malampaya field. This is the first such discovery in over a decade, strengthening energy security and reducing reliance on coal.
On 20 Jan 2026 GMT+7, Ferdinand Marcos Jr., President of the Philippines, announced the discovery of natural gas and condensate—a valuable liquid fuel—from a new exploration well named "Malampaya East One" (MAE-1) near the Malampaya gas field off the coast of Palawan Island. This marks the country's first natural gas discovery in more than 10 years.
The Philippine leader stated that the well's gas-bearing rock formation is estimated to contain about 98 billion cubic feet of natural gas, equivalent to nearly 14 billion kilowatt-hours of electricity production annually. Initial tests showed a gas flow rate of 60 million cubic feet per day, indicating high production potential comparable to Malampaya’s original gas well.
The MAE-1 well is located approximately 5 kilometers from the Malampaya gas-to-power project, the Philippines’ only domestic natural gas source. Additional exploration of nearby areas within the same zone is also underway.
This project is operated by the Service Contract 38 consortium led by Prime Energy, in partnership with UC38, the Philippine National Oil Company Exploration Corporation (PNOC), and Prime Oil and Gas Inc. Previously, experts predicted the Malampaya field might be depleted by 2027. However, in 2023, the Philippine government extended the production contract for this gas field by 15 years and authorized drilling new wells to boost output. Meanwhile, the country has begun importing LNG to support ongoing gas-fired power plant operations.
Source: Reuters