BY MADELAINE B. MIRAFLOR
PTT Philippines Corp., the local unit of Thailand’s biggest oil company, is allocating the bulk of its investment for this year in firming up presence in Southern Luzon.
Committed to invest bigger investment this year, PTT is spending about P315 million for network expansion mostly in Southern Luzon. This investment cost is higher than the P200 million the firm made in 2012.
Wisarn Chawalitanon, president and chief executive officer of PTT Philippines, said in an interview with reporters that the firm has to fuel its investments because it intends to magnify its presence in Southern Luzon, after relatively establishing its presence in Northern Luzon.
“This year, we will be focusing in the south. This year alone, we intend to expand in Cavite, Batangas, Laguna [and]Quezon provinces, specifically Mauban [in Quezon],” Chawalitanon added.
The oil firm is also expanding in Northern Luzon, particularly in Nueva Ecija. All in all, the company is planning to build 20 stations this year, higher than the average of building 15 stations per year.
The company official further said that amid expansion plans for this year, PTT Philippines is still eyeing a lower profit.
Chawalitanon said the company is targeting a P300-million net income this year, which is lower compared to the P400 million it registered in the previous year.
This, according to him, is from the adjustments the firm did in its oil prices, in order ride with the competition. Also, the company observed a decline in the world oil prices. Meanwhile, PTT Philippines is looking to build more terminals in the next five years, with an average investment cost of P500 million to P2 billion per terminal.
“We thought about building in the south because we are expanding there. Eventually, we would build a new terminal in the next five years,” Chawalitanon said.
PTT Philippines is one of the wholly owned subsidiary companies in the Philippines of Petroleum Authority of Thailand Public Company Ltd.