The country’s oil firms continued to cut kerosene and diesel prices by P0.25 per liter and P0.15 per liter, respectively, but raised gasoline prices by P0.10 per liter.
The oil firms issued their respective price advisories for the first oil price adjustment for 2016 which took effect starting 6 p.m. Monday followed by other oil firms at 6 a.m. Tuesday.
Eastern Petroleum Corp. slashed the price of its diesel products by P0.15 per liter at 6 p.m., Monday, but will hike the price of gasoline by P0.10 per liter at 6 a.m., Tuesday.
Fernando Martinez, Eastern Petroleum chairman and chief executive officer, attributed the latest price adjustment to the continuous downward trend of prices in the world oil market.
Eastern Petroleum earlier announced that it also slashed the price of its Eastern EC Gas LPG by P4.86 per kilo or P53.50 for an 11-kilo cylinder effective Jan. 2 to reflect the drop in international contract price of cooking gas in the world market.
“Analysts also point out that oiI companies around the world are again being forced to cut spending, sell assets, shed jobs and delay projects as the oil slump shows no sign of recovery,” Martinez said.
Phoenix Petroleum Philippines, meanwhile, said it decreased the price of diesel by P0.15 per liter and increased the price of gasoline by P0.10 per liter effective 6am of 05 January 2016 “to reflect the minimal price movements of petroleum products in the world market.”
Pilipinas Shell Petroleum Corp. and PTT Philippines also issued separate advisories of the oil price movement as of presstime. Other oil companies are expected to follow suit.
Last December 29, the oil firms cut gasoline prices by P0.60 per liter, P0.40 per liter for kerosene and P0.20 per liter for diesel.
Last December 22, the oil companies also implemented price cuts in diesel by P1.75 per liter, kerosene by P1.20 per liter and but increased the price of gasoline by P0.10 per liter.
World oil prices have been continuing its downward trend as fresh supply builds at the delivery point for U.S. crude futures added to worries about a global supply glut.
The slowdown in the Chinese economy, which could affect demand, also dampened world oil prices.
Other reasons that caused further slump in crude prices in late December included warmer weather forecast in the US and Europe and reports that Saudi Arabia compensate lower prices with lower production.