PETRON Corp., the country’s largest oil refining and marketing company, its expanding its retail businesses along the Tarlac–Pangasinan–La Union Expressway (TPLEX) and in Malaysia.
Ramon Ang, president of Petron and parent San Miguel Corp. (SMC), told reporters that the oil company is looking at adding 12 Petron stations.
“Our target is to find a good site. Even if you have fund for investment… it is hard to find strategic locations for gas stations. TPLEX is a long road, we are looking at six stations going to the north and six stations going to the south,” Ang noted.
The company is investing around P250 million per station.
Petron is eyeing to capture the huge volume of travelers to Baguio, Ilocos, and La Union, which are known tourist destinations, Ang said.
The travel time between Manila and Baguio has been reduced to two to three hours from six since TPLEX was opened early this year.
While the company is eager to eager to expand its business, it has to contend with regulatory hurdles.
“We can’t just build stations throughout the tollway, since we still need approval from the TRB along with other approvals,” Ang said, referring to Department of Transportation and Communication’s Toll Regulatory Board.
Petron is all fired up with the prospects of its Malaysia subsidiary.
“The expansions in Malaysia are fast-paced. We just finished rebranding 560 stations.
“We’re continuously building stations but the problem is that it’s also difficult to find good locations in Malaysia. As for the refinery, we’re upgrading it slowly and looking at the best fit solution,” Ang said.
The company is targeting P15 billion to 18 billion in net income this year, to be driven largely by a more efficient refinery operations that at the same time would depend on oil prices in the global market.
“In the old refinery, the yield was if n the 60 to 66 percent, but with the new and upgraded refinery we have a liquid yield 90 to 93 ̶ that’s where we get the good income for the company,” Ang added.