(Photo courtesy of PNA)
President Ferdinand Marcos Jr. on Thursday led the ceremonial activation of the first gas production under the Malampaya Phase 4 (MP4) Project in Batangas City, marking another step toward strengthening the country’s energy security and reducing dependence on imported fuel.
Speaking at the Malampaya Onshore Gas Plant, Marcos emphasized the importance of developing domestic energy resources to ensure a stable and reliable power supply while supporting economic growth.
“We all know the importance of energy independence to our country’s sustainable development. Something that is proven to us every single day, especially in the past few months,” Marcos said.
He noted that maximizing natural gas production from Malampaya could help stabilize electricity costs by reducing the country’s exposure to fluctuations in international energy prices.
“Maximizing the use of Malampaya gas could contribute to more competitive power rates because we are relying less on imported energy sources that are subject to volatile international energy prices,” he added.
Marcos acknowledged that the Philippine energy sector remains vulnerable to geopolitical tensions, supply disruptions and global price movements, particularly as more than half of the country’s energy supply in 2025 came from foreign sources.
He stressed that expanding domestic energy production, including renewable energy development, is necessary to meet increasing demand from industries and households.
“As our economy grows, so does our demand for energy. Industrialization and energy grow hand-in-hand, one cannot exist without the other. We cannot fully rely on other countries to provide these resources all of the time,” Marcos said.
Malampaya expansion to extend gas production
The Malampaya Phase 4 Project involves the drilling and completion of two new deepwater wells, Malampaya East-1 (MAE-1) and Camago-3 (CA-3), along with the installation of subsea infrastructure connected to the existing production system.
The two wells contain an estimated 222 billion cubic feet of natural gas resources, which are expected to help sustain production from the Malampaya field until approximately 2034.
The Malampaya gas field remains a major source of indigenous natural gas for electricity generation, making its continued operation important to the country’s energy supply.
Marcos said the project’s development demonstrates the importance of cooperation between the government, energy companies and industry stakeholders in maximizing local resources.
“On the part of government, you may rest assured that we will continue to pursue initiatives that foster a more conducive environment for energy exploration and production,” he said.
Government expands energy exploration initiatives
The President also highlighted government measures aimed at encouraging additional investments in domestic energy exploration and production.
He said the administration has awarded 14 new Petroleum Service Contracts covering oil, natural gas and native hydrogen exploration.
The Department of Energy has also introduced special allowances for contractors undertaking exploration in new geological prospects, frontier areas and remote gas development sites.
Marcos cited the Philippine Gradiometry and Seismic Survey Project, which seeks to identify areas with potential petroleum and natural gas resources for future exploration.
He also pointed to the Philippine Natural Gas Industry Development Act, which prioritizes the procurement and use of locally produced natural gas over imported supplies by gas-fired power plants.
The President said these initiatives are intended to strengthen energy security, attract responsible investments and maximize the economic benefits of the country’s natural resources.
“Taken together, these measures optimize our resources, encourage responsible investments, and ensure that the benefits of our pursuits serve the national interest. To our stakeholders and our investors: Let us build on the success of this Malampaya Phase 4 Project,” Marcos said.
The government expects the continued development of the Malampaya gas field, alongside new exploration projects and renewable energy investments, to help improve the reliability of the country’s power supply and reduce its vulnerability to disruptions in international energy markets.
