After four weeks of increases, Phoenix Petroleum Philippines Inc. (Phoenix) beat other oil companies in implementing a price rollback after slashing an average 65 centavos per liter in gasoline and 35 centavos for diesel effective 6 a.m. yesterday.
The Phoenix price cut induced announcements from its competitors to consider their own reductions.
Unioil said prices per liter of diesel “should go down by P0.30 to P0.40 and gasoline by P0.60 to P0.70.”
Jetti said the price of diesel may be slashed by P0.35 to P0.40 per liter and gasoline should be slashed by P0.65 to P0.70 per liter.
Local oil companies usually implement price adjustments every Tuesday of the week.
Phoenix Petroleum as a result of the rollback now sells among the lowest priced fuel in the market.
Due to industry regulation, prices differ in every gas station but in Cavite, for instance, Phoenix sells premium gasoline at P43.45 per liter, unleaded at P46.21 per liter, diesel at P24.21 per liter and kerosene at P44 per liter.
Caltex sells premium at P46.21 per liter, unleaded at P46.21 per liter, diesel at P23.43 per liter and kerosene at P45 per liter.
Pilipinas Shell’s prices are P46.21 for premium, P24.53 for diesel and P45 for kerosene.
LNG venture starts
In a report to the Department of Energy (DoE), Phoenix said it had also set aside an initial P250 million to invest in a joint venture with China National Offshore Oil Corp. (CNOOC) to put up liquefied natural gas (LNG) facilities, including the establishment of a subsidiary for the project.
Phoenix’s board approved a plan to work with CNOOC to establish and operate various LNG-related trade and services.
The proposed subsidiary, based on the report, will manage the firm’s LNG business, including a fuel terminal and the operation of a gas-fired power plant.
The joint venture plans a 1,100-megawatt power plant that will use LNG from its terminal in Batangas as fuel.
Phoenix chief operating officer Henry Albert Fadullon said the project will break ground this year for the regasification and receiving terminal with a capacity of 2.2 metric tons per year. Commercial operations are targeted to start by 2023.
Clean energy source
Fadullon said the LNG facility will help support the demand for a clean and reliable energy source in Luzon and contribute to the sustainable development of the Philippine economy.
Phoenix also plans an integrated project that would have a gas-fired power generation complex that has six units at 360 megawatts each or a total of 2,160 MW.