The Department of Energy (DOE) said it has secured interest from a United States-based (US) firm to explore potential natural hydrogen sites in Luzon, a step in the Philippines’ search for new energy sources.

Energy Secretary Sharon Garin told reporters that Koloma, Inc., a natural hydrogen startup from the U.S., plans to begin its exploration work at two sites in Zambales.

“[This is the] biggest exploration because it needs the president’s signing," Garin said, expressing confidence that Koloma would launch the country’s first hydrogen study.

She also noted the emerging nature of the technology. "This is [a] new technology. It’s up to Koloma to study it, because hydrogen is slightly unstable in terms of transportation,” she added.

The Department of Science and Technology (DOST) previously reported that Nagsasa Cove in San Antonio, Zambales, contains gas seeps that could be a source of hydrogen. Researchers detected about 808 metric tons of natural surface outgassing from the area.

While other non-US companies have also expressed interest, Koloma is currently vetting additional contracts with the government. The company acknowledged that hydrogen development is a long-term process, with drilling, storage, transportation, and conversion into energy potentially taking up to a decade.

“Koloma itself wants two more contracts in that area of Luzon. Hopefully, we will have the first-ever exploration contract within the year”” the DOE chief said.

Last year, the DOE reported that nine firms—six international and three local—submitted proposals to explore for petroleum and hydrogen in the region, including a firm from Saudi Arabia. The US is also interested in potential oil and gas reserves.

“I think many US companies are interested in exploration since they have a lot of companies in that field,” Garin said. “We still have more areas in Palawan—the West Philippine Sea. Even in Sulu. There's still some areas we can farm out for our possible investors.”

However, ongoing geopolitical tensions with China in the West Philippine Sea (WPS) have raised concerns about investor confidence.

“If there is a security question, and there is a dispute, I cannot risk the money of investors in something that they won't be secured,” she said.

Garin cited the Malampaya gas plant in Palawan as an example, noting that it is heavily guarded.

A moratorium on oil and gas exploration in the WPS was first imposed in 2014 by then-President Benigno Aquino III. The ban was put in place to prevent further escalation of territorial disputes and protect Philippine sovereignty over the contested waters.