Saudi Aramco cleared for Phl market re-entry

Saudi Aramco has re-entered the local energy market after more than a decade, acquiring a 25 percent stake each in Unioil Petroleum Philippines, Inc. and Unioil Energy Pte. Ltd.

The acquisition was approved after the Philippine Competition Commission (PCC) review determined that the transaction is unlikely to substantially lessen competition.

“After reviewing submissions from the parties and third-party feedback, the Commission determined that the transaction would not likely result in a substantial lessening of competition in the relevant markets since the parties have limited market shares, face substantial competition from other established players, and the entry of new players is likely, timely, and sufficient due to low barriers to entry,” the competition watchdog said on Tuesday.

Aramco Asia Singapore Pte. Ltd., a wholly-owned Aramco affiliate serving as the company’s Asia hub, will now participate in Unioil’s domestic petroleum operations and foreign trading of gasoline and diesel.

The investment aims to strengthen Unioil’s operations, expand the company’s product offerings, and introduce the Aramco and Valvoline brands to the Philippine market. With operations across Luzon, Visayas, and Mindanao, Unioil plans to use the partnership to support growth, innovation, and customer-focused fuel solutions.

Aramco previously held a 40 percent stake in Petron Corp., which it sold in 2008 for $550 million, marking its exit from the local market until now.

The PCC reviews mergers and acquisitions under the Philippine Competition Act to ensure foreign and local transactions do not harm competition or consumers.