Surigao Del Sur Rep. Johnny Pimentel recently revealed that prospective buyers of the 45% stake of Shell Exploration B.V. (SPEx) in the Malampaya gas-to-power project are mainly interested in its 504-kilometer subsea pipeline.
Pimentel further pointed out that the Malampaya underwater pipeline could be used to transfer all the offshore gas from the West Philippine Sea to the onshore power plants in Batangas.
Malampaya’s reserves are said to be depleted between 2024 and 2027, but even when this happens, Pimentel said the gas pipe could serve as the “toll road” of indigenous offshore gas in the future.
Energy Sec. Alfonso Cusi has affirmed Pimentel’s statement.
Shell is selling its stake in Malampaya as part of its long-term business plans in the country. The MVP Group of Manny V. Pangilinan, San Miguel Corporation of Ramon Ang, and Udenna Corporation of Dennis Uy are in a three-way battle for the Shell share. Udenna already owns the other 45%, while the Philippine National Oil Company owns the remaining ten percent.
The MVP Group holds the rights to Service Contract 72 or the Sampaguita gas field in the Recto Bank, around 250 kilometers southwest of Malampaya.
