Oil price are up for the second consecutive week on low levels of diesel inventory as several countries went on buying spree in preparation for the coming winter season.
Seaoil increased per liter prices by P0.80 on gasoline, P2.70 on diesel and P2.90 on kerosene.
PTT and Cleanfuel adjusted per liter prices upward by P0.80 of gasoline and P2.70 of diesel.
According to the Department of Energy (DOE) as of October 4, the average Manila price per liter of gasoline (RON95) was at P68, diesel at P78.10 and kerosene at P81.88.
The DOE also said as of October 11, year-to-date adjustments of petroleum products stood at a net increase of P15.65 per liter for gasoline, P35.80 per liter for diesel and P26.75 per liter for kerosene.
The two straight price hikes on diesel totaling P9.55 per liter wiped out the collective cuts in the previous five weeks from September 6 to October 4 which totaled to P8.85 per liter.
Cumulative per liter rollbacks on the said weeks of P5.15 on gasoline and P9.95 on kerosene have not been completely negated. The total per liter hikes in the last two weeks on the two products were at P2 and P6.40, respectively.
Reuters reported that as of Friday last week, Brent crude futures settled at $91.63 a barrel as US West Texas Intermediate crude futures ended at $85.61 per barrel.
Reuters cited the US Energy Information Administration’s (EIA) report last week which said distillate stockpiles – which include diesel and heating oil – fell by 4.9 million barrels in the week ended October 7. This number far exceeded the expected drop of 2 million barrels.
Earlier, the US government urged American oil refiners to refrain from further increasing exports of fuels like gasoline and diesel, with the EIA warning that most US households will pay more to heat their homes this coming winter.
However, analysts said the price increase was prevented from further rising due to the continued fears of a global recession and weak oil demand especially in China despite the large production cut to be implemented by the Organization of the Petroleum Exporting Countries and its allies. – Jed Macapagal
