Petron Corp. will cut the price of cooking gas or liquefied petroleum gas by a hefty P7.50 per kilo or P82.50 per 11-kilo LNG tank effective 12:01 am Nov. 1 to reflect the lower contract price of LPG in the world market for November.
Petron will also cut auto LPG prices by P4.20 per liter. Petron’s 11-kg tank sells for around P765 to P785 kg.
“These reflect movements in the international contract price of LPG
for the month of November,” the country’s biggest oil company said.
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Other oil companies have not announced a price cut for LPG but are expected to follow suit.
The rollback for LPG followed the decreases in the price for gasoline, by as much as P1.50 to P1.65 per liter, for diesel, by P0.60 a liter, and kerosene, by P0.65 a liter.
Year-to-date adjustments are now at a net increase of P8.70 per liter for gasoline, P10.60 per liter for diesel and P9.60 per liter for kerosene.
The Philippines imports more than 90 percent of its fuel requirements and it is exposed to price volatilities in the world market. Before the three-week rollback, world oil prices had been going up for several weeks.
World oil prices have declined recently as the market remains positive on the supply security due to the several developments, the Department of Energy said in its monitoring report.
It said oil prices continued the downward trend after reports of strong buildup in US crude stockpiles and increased confidence about the availability of supplies towards the end of the year and into early 2019.
Traders also noted that Iran’s exports have not declined as much as predicted a couple of months ago and it is now clear they will not fall to zero, even after US sanctions are imposed against Iran.