Oil price rollback projected next week

MANILA, October 18 ------ Oil prices are again expected to go down next week, said the Department of Energy Friday, Oct. 17.

Based on the four-day trade monitoring of the Means of Platts Singapore, DOE Oil Industry Management Bureau Assistant Director Rodela Romero said the following rollbacks are expected next week:

• Gasoline – P0.30/per liter

• Diesel – P1.10/ per liter

• Kerosene – P0.65/ per liter

Romero noted these numbers do not cover business and other premium costs. The projected price decreases are due to the oversupply of the Organization of the Petroleum Exporting Countries and allies (OPEC+), particularly Russia and the United States. Romero noted a supply of glut is being seen in the international market after the International Energy Agency said the demand growth of oil had immensely decreased. “Si International Energy Agency, nagsabi po siya na magkakaroon ng adjustment sa kanyang forecast. Sinasabi niya na bumaba ang demand growth ng oil sa international market,” she said.

The US-facilitated peace talks between Russia and Ukraine also contributed to the lowering of the global oil prices, according to Romero. When asked if the rollbacks will continue in the coming weeks, Romero said, “Hopefully, kaya lang sabi ko sayo, madami pa ring mga factors ang nakaamba.”

The US-facilitated peace talks between Russia and Ukraine also contributed in the lowering of the global oil prices, according to Romero. When asked if the rollbacks will continue in the coming weeks, Romero said, “Hopefully, kaya lang sabi ko sayo, madami pa ring mga factors ang nakaamba.”

Gasoline prices, for instance, are seen fluctuating, with rollback prices ending up consumed by the premium costs. “So nandiyan yung mga factors na hindi nawawala, yung mga tariff issue, geopolitical conflict. Bumababa man yung mga sinasabi nilang mga risk premium, but still, hindi nasosolusyunan yung mga sinasabing factors,” she said. Gasoline this week increased by P0.30 per liter despite the projected rollback in the Means of Platts Singapore last week. Kerosene decreased by P0.20 per liter, while diesel had no change.

This after the prices of diesel and kerosene rose in seven consecutive weeks. Romero added that the oil demand usually goes up during the last quarter of the year due to the need for heating fuel like gasoline, diesel and Liquefied Petroleum Gas, in the northern hemisphere.

Source: news.abs-cbn.com