WORLD OIL PRICES (January 15-19, 2024, trading days)
There was no movement on the week-on-week price of Dubai crude. On the other hand, MOPS gasoline, diesel and kerosene have increased by about $2.50, $1.40 and $0.05 per barrel, respectively.
Reasons for the Price Adjustment1
- Crude prices rose on escalating tensions in the Red Sea, reports of increased Chinese crude import in December and fall in US crude inventory.
- More large shipping companies are opting to sail around the Cape of Good Hope in South Africa, suggesting lengthier route and higher freight rates and insurance.
- Reliance Industries, Abu Dhabi National Oil and Shell have joined the ranks of oil producers/exporters avoiding the Red Sea.
- Higher shipping costs could lead to brief tightness in refined products and crude, though oil production has not been impacted.
- More large shipping companies are opting to sail around the Cape of Good Hope in South Africa, suggesting lengthier route and higher freight rates and insurance.
- Political struggle for power in Libya could hinder an upstream revival after protesters closed the conflict-prone country's largest oil field this month.
- The North African nation's crucial oil industry enjoyed a relatively calm 2023, with average production climbing to 1.13 million b/d.
- On Jan. 7, the National Oil Company and Central Bank declared force majeure at the 300,000 b/d Sharara field, Libya’s largest, after economic protesters shut it down.
- The Asian gasoline complex strengthened on firm import demand from Indonesia and Australia while supply was capped by unplanned outages in US on the back of low temperatures.
- The Asian gasoil/diesel prices extended gains amid a supply crimp stemming from refinery turnarounds in the region while demand remained stable.
FOREX: The week-on-week average of Philippine peso appreciated versus the US dollar by P0.06 to P55.90 from P55.95 in previous week.
DOMESTIC OIL PRICES
Effective 23 January 2024, the oil companies implemented an increase in the price of gasoline by P 1.30/liter and P 0.95/liter in diesel. There was no movement effected on kerosene.
Year-to-date, the net adjustment of both gasoline and diesel stands at net increase of P1.60/liter. Kerosene, on the other hand, remains at a net decrease of P0.40/liter.
For the updated prevailing retail pump prices, please refer to this link:
- https://www.doe.gov.ph/retail-pump-prices-metro-manila
Other recommended reference sites:
- http://www.aip.com.au/pricing
- http://www.indexmundi.com/commodities/?commodity=crude-oil-dubai
- https://www.quandl.com/data/ODA/POILDUB_USD-Dubai-Crude-Oil-Price
For more information, call the
Department of Energy
Pricing: 840-2187
LPG: 840-2130
Fuels: 840-5669
Website: https://www.doe.gov.ph