PRIME ENERGY Resources Development B.V.’s Malampaya Phase 4 Project has received certification for expedited permit processing perks, the Razon-led company announced on Wednesday.
The Department of Energy certified the gas project as an energy project of national significance (EPNS), Prime Energy said in a statement.
“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,” Prime Energy President and Chief Executive Officer Donnabel Kuizon Cruz said.
The certification, under Executive Order No. 30 signed in 2017, expedites the issuance of regulatory procedures and processes of local and national government agencies.
To qualify, energy projects must invest at least P3.5 billion, significantly contribute to economic development, have a significant environmental impact or involve complex technical processes and engineering designs, and require substantial infrastructure.
Malampaya Phase 4, which is under the Malampaya Deep Water Gas-to-Power Project, involves the drilling of the Camago and Malampaya East production wells and the drilling of the Bagong Pag-asa exploration well.
The planned drilling is expected to require an investment of more than $600 million.
For 2024 alone, the planned expenditure is about $187 million, which would be spent on the procurement of drilling equipment, subsea equipment and umbilicals, and pipelines, and securing the drilling rig, according to Prime Energy.
Drilling is planned for 2025 with the aim to deliver new gas by 2026.
The project is operated by the Malampaya consortium, which is composed of Prime Energy, UC38 LLC, Prime Oil & Gas, Inc., and state-owned PNOC Exploration Corp.
The consortium secured a 15-year renewal of Service Contract No. 38 through 2039, paving the way for the exploration and development of additional gas reserves.
In August, it awarded a contract worth approximately $180 million to Netherlands-based Allseas Nederland (Brasil) B.V., a subsidiary of Allseas Group specializing in offshore pipeline installation.
“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,” Ms. Cruz said. — Sheldeen Joy Talavera
