| 
Exciting news for the Philippines' energy security! The nation is taking a major step forward in its quest for a stable and sustainable energy supply with the formalization of a pivotal agreement for the Malampaya life extension initiative, "Project Sinagtala." This project will tap into vital indigenous natural gas resources, ensuring energy security for millions of Filipinos.
Prime Energy Resources Development, a division of Prime Infrastructure Capital Inc. and leader of the Service Contract 38 (SC38) consortium, has officially signed a $180 million contract with Dutch offshore contractor Allseas. This agreement entrusts Allseas with the installation of essential pipeline and umbilical infrastructure, connecting two new wells to the Malampaya Shallow Water Platform. These wells are expected to start delivering gas by 2026, further securing a stable energy supply for the country.
“Today’s signing ceremony highlights the strong partnership between Prime Energy and the Philippine government, particularly with the Department of Energy,” said Donnabel Kuizon Cruz, Prime Energy CEO. “With this agreement, we are ready to deliver a vital new source of gas that will support the Philippines for years to come.”
According to the LinkedIn post, The Malampaya deepwater gas-to-power project, located 50 kilometers offshore Northwest Palawan, has been a cornerstone of the nation’s energy landscape since it began commercial operations in January 2002. To date, it has generated over $12 billion in revenues for the Philippine government and powered up to 20% of Luzon’s electricity requirements.
Drilling two deepwater development wells in the Camago and Malampaya East fields, as well as a third exploratory well called Bagong Pagasa, is part of Prime Energy's $800 million strategy to extend the life of the Malampaya field.
With Project Sinagtala underway, this initiative will reinforce the nation’s energy independence and provide long-term benefits for both homes and businesses across Luzon.
