Oil prices are up for the second consecutive week.
Seaoil raised per liter prices by P1.35 on gasoline, P0.45 on diesel and P0.35 on kerosene.
Cleanfuel and PTT also adjusted per liter prices upward by P1.35 on gasoline and by P0.45 on diesel.
Today’s adjustments were mainly caused by traders’ fear on growing possibilities of crude supply shortages in the coming months that could further be aggravated by the rising tensions between Russia and Ukraine.
Data from the Department of Energy (DOE) as of July 18 showed Manila price per liter of gasoline (RON95) stood at P67.45, diesel at P55.99 and kerosene at P68.47.
DOE data also showed year-to-date adjustments amounted to a total net decrease of P0.85 per liter for diesel and P3.70 per liter for kerosene and a net increase of P7.55 per liter for gasoline.
Reuters reported that as of Friday last week, Brent crude futures settled at $81.07 a barrel while US West Texas Intermediate crude ended at $77.07 per barrel.
The report quoted analysts who said global crude supply is starting to tighten and may “accelerate dramatically” in the coming weeks as production from the Organization of the Petroleum Exporting Countries and its allies as well as from the United States has been on a steady decline in recent weeks.
Experts added the worsening tensions between Russia and Ukraine which resulted last week in the former’s withdrawal from a safe sea corridor agreement brokered by the United Nations will negatively affect supplies of ethanol and biofuels that are blended with crude products.
The report said lower availability of ethanol and biofuels will force refiners to use more crude oil which is also currently in low levels.
