Manila: President Ferdinand R. Marcos Jr. has announced a significant development in the Malampaya gas field with the successful drilling of the Camago-3 well, which is expected to extend the country's energy supply and reduce reliance on imported fuel.

According to Philippines News Agency, the Camago-3 well has been successfully drilled and tested, producing up to 60 million standard cubic feet of gas per day. This marks the second major milestone under the USD893 million Malampaya Phase 4 campaign and is significantly larger than the first milestone. The announcement follows the earlier Malampaya East-1 (MAE-1) discovery made in January this year.

The Malampaya Deep Water Gas-to-Power Project, located offshore Palawan, supplies up to 20 percent of Luzon's electricity requirements and is the country's only indigenous source of natural gas. The Camago-3 well is reported to contain significantly higher recoverable gas reserves, extending the life of the Malampaya gas field by an estimated six years.

President Marcos highlighted the impact on electricity supply and costs, stating that Malampaya gas costs around PHP4.80 per kilowatt-hour compared to PHP10.30 for imported LNG. The development is timely amid global energy volatility caused by the Middle East crisis.

The President also announced the installation of new subsea pipelines, which will be the first since 2000, to support expanded gas delivery. The government is targeting first gas delivery by the fourth quarter of 2026, with additional drilling projects underway, including the upcoming Bagong Pag-asa well located 30 kilometers north of Malampaya.

President Marcos emphasized the importance of indigenous energy, stating, "This is our future. And it is how we protect every Filipino from the burden of rising global fuel prices."