Fuel prices cut by P2

Fuel prices cut by as much as P2 

by Ellson Quismorio, Manila Bulletin

May 13, 2011

MANILA, Philippines — Independent oil companies announced last night significant price rollbacks on prices of its gasoline and diesel products.

Seaoil Philippines said it rolled back premium and unleaded gasoline prices by P1.50 per liter, regular gasoline by P1, and diesel and kerosene prices by P2 effective 12:01 a.m. Saturday.

Leah Flor, corporate communications officer, said Unioil Philippines slashed P1.50 a liter on all its gasoline products and P1.75 on diesel. “This will take effect 6 a.m. Saturday, May 14,” she said.

Flor likewise told the Manila Bulletin that Unioil reduced prices by as much as P2 a liter last Saturday, May 7, along with oil giants Pilipinas Shell, Petron Corp., and Chevron Philippines (formerly Caltex).

This means that today’s adjustment would be Unioil’s second significant price reduction in a week’s time. Saturday will also mark the first time this year that the oil company would cut prices twice in a row.

The average prices of fuel in Metro Manila as of Friday were P47.50 a liter for diesel; P57.50 a liter for unleaded and P56 a liter for kerosene.

Citing the decline in international product prices, local oil firms last May 7 rolled back diesel by P1.75 a liter; kerosene by P2 a liter, unleaded gasoline by P0.50 a liter, and regular gasoline by P1.25 a liter.

The same reason can be attributed for the latest price movement, Flor said. Other oil firms have yet to announce an adjustment as of press time.

Unioil has fewer than 50 retail stations in Metro Manila.

Meanwhile, Total Phils. raised its cooking gas by P1 per kilo Friday, two days after the Liquefied Petroleum Gas Marketers Association (LPGMA) rolled back its prices.

In the world market, oil prices rose to near $100 a barrel Friday as Germany and France posted strong economic growth figures and the US dollar weakened, making crude cheaper for investors with other currencies.

By early afternoon in Europe, benchmark crude for June delivery was up 93 cents to $99.90 a barrel in electronic trading on the New York Mercantile Exchange. The contract gained 76 cents to settle at $98.97 on Thursday.

In London, Brent crude for June delivery was up $1.20 to $114.18 a barrel on the ICE Futures exchange.

Crude prices have zigzagged near $100 for most of this week, broadly tracking the value of the dollar. When the dollar weakens – as it has most of this year – oil tends to rise while it usually falls when the dollar is stronger. (With a report from AP)