PRICES of all petroleum products will be reduced by more than P1 per liter today.
Caltex and Seaoil cut per liter prices by P1.55 for gasoline, P1.30 for diesel and P1.40 for kerosene.
PTT also adjusted per liter prices downward by P1.55 for gasoline and P1.30 for diesel.
The fuel price movements were mainly caused by fears of possible weaker fuel demand from the United States and China, paired with the possible rise in crude supply from Libya and from other members of the Organization of the Petroleum Exporting Countries (OPEC).
Data from the Department of Energy (DOE) as of September 4 showed Manila price per liter of gasoline (RON91) stood at P57.35, diesel at P53.45 and kerosene, P70.18.
Based on the DOE data, year-to-date adjustments as of the same date stood at a total net increase of P7.40 per liter for gasoline and P4.35 per liter for diesel, but a net decrease of P3.30 per liter for kerosene.
Reuters reported that as of Friday last week, Brent crude futures ended at $71.06 a barrel while US West Texas Intermediate crude futures settled at $67.67 per barrel.
The report also cited data from the US Energy Information Administration that showed 6.9 million barrels of crude were withdrawn out of storage in the US during the week ending August 30, a volume which is much bigger than expected.
OPEC and allies led by Russia decided last week to delay output increases originally set to start next month.
OPEC agreed to delay a planned crude oil output increase for October and November but mentioned that it can pause or reverse the move if needed.
OPEC’s recent moves were also supported by developments in Libya, which is resolving its internal government issues that led to the temporary curtailment of its crude shipments.
