The company's energy exploration unit, PNOC-Exploration Corp., will drill and then install monitoring wells at the San Mateo sanitary landfill, east of the capital in July to see if there is enough methane gas in the area to fuel a small power plant, a company spokeswoman told AFP.

New Zealand is to finance part of the two million pesos (36,000 dollar) project cost, the official added.

Tapping methane gas from garbage to generate power is still in experimental stages in the Philippines but is seen as a way of protecting the environment while bringing electricity to poor communities.

The Philippines relies mostly on imported coal as well as natural gas from the offshore Malampaya field to produce electricity.

TERRA.WIRE