Oil prices are up for the third week driven by increased demand due to the harsh winter being experienced in some parts of the United States.
According to the Department of Energy, the latest average Manila price per liter of gasoline (RON95) is at P43.20, diesel at P40.66 and kerosene, P44.21.
Shell and Seaoil adjusted per liter prices upward by P1.20 for gasoline, P0.95 for diesel and P1 for kerosene.
PTT increased gasoline by P1.20 per liter and diesel by P0.95 per liter, as Caltex also implemented the same adjustments apart from kerosene which it raised by P1.05 per liter.
As of Feb. 16, 2021, year-to-date adjustments on fuel prices summed up to a net increase of P4 per liter for gasoline, P3.90 per liter for diesel and P3.35 per liter for kerosene.
Reuters reported that as of Friday last week, Brent crude futures ended at $62.91 a barrel while US West Texas Intermediate crude settled at $59.24 a barrel.
The report said extreme snow fall in Texas curtailed up to 4 million barrels per day of crude production and 21 billion cubic feet of natural gas.
The unexpected weather phenomenon forced American energy firms to cut the number of operating oil rigs for the first time since November.
Other factors also cited by analysts that influenced the upward movement include the successful rollout of vaccines, continuing production cuts of the Organization of the Petroleum Exporting Countries as well as the US government’s statement that it is ready to talk to Iran about returning to a 2015 agreement that aimed to prevent the latter from acquiring nuclear weapons. – Jed Macapagal