Commercial-scale geothermal development in the Philippines began in 1972 with the completion of the discovery well in the southeastern portion of Luzon Island. A second geothermal anomaly was discovered in 1975 on the southern flank of Mt. Makiling, forty miles south of Manila. Both fields are being developed and operated by Philippine Geothermal, Inc. (PGI) , a wholly-owned subsidiary of Union Oil Company of California. Currently the Philippines ranks second worldwide in installed geothermal-powered electrical generation capacity with 443 MW and PGI has developed 440 PW of the 443 MW country total. Additional generation capacity is planned or under construction in both fields. Over 1.9 billion kilowatt - hours of electrical power have been produced to date. This represents a savings of approximately three million barrels of imported fuel oil for power generation.

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