Aurora ecozone advances LNG power facility plan in the Philippines

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Aurora ecozone LNG project

Highlights

APECO partnered with ARQ Development Corp. LLC and S.C. Megaworld Construction to develop a $150 million LNG-powered facility in the Casiguran ecozone.
The project targets an initial 50-100 MW capacity, scaling to 500 MW by year three and potentially expanding to 2,000 MW in subsequent phases.
The agreement, signed during a Houston investment mission, initiates a feasibility study covering LNG supply infrastructure, regasification, storage, and ecozone electrical upgrades.

Project scope and development timeline

As reported by BusinessWorld Online, APECO has partnered with U.S. company ARQ Development Corp. LLC and S.C. Megaworld Construction for the planned development of a liquefied natural gas-powered facility within the Casiguran-based ecozone.

The project involves an initial investment of $150 million and includes plans for a micro-grid. APECO is initially targeting 50 MW to 100 MW of generation capacity, with a goal of reaching 500 MW by the third year and expanding further to as much as 2,000 MW.

The memorandum of understanding was signed earlier this month during APECO's investment mission in Houston. The agreement is intended to launch a feasibility study for the phased development of the facility, including infrastructure for LNG supply, regasification, storage and electrical distribution, as well as upgrades to the ecozone's existing electrical facilities.

Ecozone investment and industry implications

APECO President and Chief Executive Officer Gil G. Taway IV said investors require more than scalable land when choosing locations, pointing to the need for reliable power, sufficient water supply and digital connectivity to support uninterrupted operations.

The planned facility is positioned as part of APECO's broader effort to make the ecozone more attractive to energy-intensive locators. Texas-based ARQ focuses on sustainable energy and industrial projects, while its local partner, S.C. Megaworld, brings experience in engineering, construction and project permitting in the Philippines.

Our earlier article on the Philippines’ planned sovereign bond reforms explained how changes to peso government-bond pricing and expected index inclusion could widen the investor base and improve liquidity. It also stressed that market modernization alone won’t automatically translate into stronger business investment unless it is matched by credible fiscal management and real-economy improvements—especially better infrastructure and lower structural costs such as electricity.

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