Oil companies announced price rollback on gasoline by 25 centavos per liter and price hikes on diesel by 30 centavos per liter and kerosene by 15 centavos per liter, effective 6 a.m., Tuesday, June 14.
Pilipinas Shell Petroluem Corp., Caltex, Seaoil, Phoenix Petroleum, Flying V, PTT Philippines, Eastern Petroleum, Total and Petron made separate advisories on Monday about the price changes.
Speaking at the sidelines of the First Repeal Day held in Makati City (Metro Manila) on Monday and organized by the National Competitiveness Council, Department of Energy (DOE) Secretary Zenaida Monsada told reporters that many global events are affecting crude oil production.
Monsada cited the Fort McMurray wildfire in Canada that continues to spread, consuming forested areas and impacting Athabasca oil sand operations.
Nigeria’s militant group Delta Avenger, she said, has threatened to take Nigeria’s oil production down to zero.
“Three million barrels have been lost from their supply but the owners or government will not allow having no production. This means low supply, high price. We need to highlight the movement and development of the oil market, because it has fast reaction on oil prices. We will continue to be watchful of events to monitor,” Monsada added.
She said, “One reason why there was decrease of supply [was that]small oil producers have stopped producing because of cheaper price. And now the price is high, they start producing again. The oil market has noticed the increase in rig rentals so when the production starts gaining again, oil prices will be low again.”