Oil prices are up for the second consecutive week.
Seaoil and Caltex increased per liter prices by P0.40 of gasoline, P0.95 of diesel and P0.85 of kerosene.
PTT, Clean Fuel and Jetti adjusted per liter prices upward by P0.40 of gasoline and P0.95 of diesel.
Today’s upward price movements were mainly caused by the worsening geopolitical tensions in the Middle East.
Data from the Department of Energy (DOE) as of April 9 showed Manila price per liter of gasoline (RON91) stood at P65.65, diesel at P62.75 and kerosene at P74.31.
DOE data also showed year-to-date adjustments as of the same date stood at a total net increase of P9.30 per liter on gasoline, P6.05 per liter on diesel and P1.40 per liter on kerosene.
Reuters reported that as of Friday last week, Brent crude futures settled at $90.45 a barrel while US West Texas Intermediate crude futures ended at $85.66 per barrel.
The report said oil prices neared a six-month high on concerns that Iran, which is the third-largest producer in the Organization of Petroleum Exporting Countries (OPEC), will retaliate against Israel for an attack that killed high-ranking Iranian military personnel.
The US government said Iran may attack Israel but at an extent that “would not be big enough to draw”America into war.
However, analyst said supply chain issues still carry the biggest risk premium in the ongoing tensions as Iran maintains its threat to shut the Suez Canal which is a major shipping route for crude oil.
However, traders said this week’s price increase could have been much higher if not for the differing views of OPEC and the International Energy Agency (IEA) on global crude demand.
The IEA cut its forecast for 2024 world oil demand growth to 1.2 million barrels per day (bpd) but OPEC said last week that world oil demand will rise by 2.25 million bpd this year.
