Oil prices are expected to move in mixed directions anew, a development that will bring both relief and added cost to motorists depending on the fuel they use.

On Friday, Rodela Romero, director at the Oil Industry Management Bureau, confirmed that based on four days of trading in the Mean of Platts Singapore (MoPS) — excluding operating costs and other premiums — gasoline prices are forecast to rise by around P0.70 per liter.

In contrast, diesel could see a rollback of about P0.45 per liter, while kerosene prices are likewise expected to drop by approximately P0.25 per liter.

Reflective of global factors

Romero said the estimated movements reflect global factors, including “geopolitical concerns such as the Ukraine attack on Russia’s oil infrastructure and the rising tensions between US and Venezuela,” as well as a “global crude oil supply surplus.”

Meanwhile, Jetti Petroleum Inc. president Leo Bellas noted that “geopolitical risks and tensions continue to keep premiums and freight rates elevated, pushing diesel prices higher despite a week-on-week decline in the MOPS diesel average.”

Russia-Ukraine peace deal

He explained that the middle distillate market has softened as prospects for a Russia-Ukraine peace deal eased supply concerns, while expectations of increased exports from China added further weight to the outlook.

On gasoline, Bellas said prices in Asia remain supported by tight supply and strong regional demand, with exports from major refiners — particularly in China and South Korea — remaining low, which has helped keep gasoline benchmarks firm.

Final price adjustments

Final price adjustments will be determined after Friday’s trading, with the official figures to be announced on Monday and implemented on Tuesday.

This week, gasoline prices rose by P0.20 per liter while diesel and kerosene declined by P2.90 per liter and P3.20 per liter, respectively.