Gas discovery provides boost to Philippines fast-dwindling reserves

Manila: Philippines President Ferdinand Marcos said Monday that a significant discovery of natural gas had been made near the country s sole produci...

Manila: Philippines President Ferdinand Marcos said Monday that a "significant" discovery of natural gas had been made near the country's sole producing offshore site.

About 98 billion cubic feet (2.8 billion cubic metres) of natural gas -- enough to provide power to 5.7 million homes for a year -- has been found east of the Malampaya Field near the island of Palawan, Marcos said.

The Philippines has some of the region's highest energy costs and faces a looming crisis as the Malampaya gas field, which supplies about 40 percent of power to the archipelago's main island, Luzon, is expected to run dry within a few years.

The discovery -- five kilometres (three miles) east of the Malampaya Field -- is the first in more than a decade and suggested the potential to produce even more, Marcos said.

"This helps Malampaya's contribution and strengthens our domestic gas supply for many years to come. Initial testing showed that the well flowed at 60 million cubic feet per day," Marcos said in a statement.