Independent oil players announce cut in gasoline cost by P1/liter
As world crude oil prices plunge, small oil players on Thursday started implementing price cuts in their gasoline products.
SeaOil announced that it will cut by P1.00 per liter its gasoline prices starting 2 p.m. Thursday. This will be followed by Eastern Petroleum Corp. at 6 a.m. Friday.
Fernando Martinez, Eastern Petroleum president, said the prices of the company’s gasoline products will be slashed by P1.00 per liter at 6 a.m. Friday.
“We have decided that by tomorrow Eastern Petroleum will rollback gasoline prices at 6 a.m.,” Fernando Martinez, Eastern Petroleum president, told ABS-CBN’s morning show, “Umagang Kay Ganda.”
Martinez said the latest price cut is a result of the decreasing prices of crude oil in the world market. World crude oil prices dropped to $118 per barrel on Tuesday, the lowest since May 5 this year.
He said the company is not yet ready to bring down the prices of its diesel product. However, he said a price cut on diesel may take place on the third or last week of August, if crude oil price continues its plunge in the world market.
“We don’t have any more recoveries in diesel based on the current trend in the world market. Kaya lang hindi naman kami puwedeng mag-rollback sa diesel,” he said.
Martinez, meanwhile, said the company welcomes President Arroyo’s order to the Department of Energy (DOE) to audit oil companies. The order came after prices in the world oil market started going down this month.
“All the [financial] records are with the Securities and Exchange Commission,” he said.
Mrs. Arroyo ordered DOE on Tuesday to conduct an “intensive audit” of the books of the country’s oil and power companies, particularly on their cost recovery.
Malacañang officials said the President wants the department to be more diligent and thorough in its audit.
The DOE has hired accounting firm SGV and the University of Asia and the Pacific to audit the books of the oil companies but no irregularities were detected.
Mrs. Arroyo said the DOE could tap the services of the Commission on Audit if needed.
Source: ABS-CBN Interactive
Tags: DOE, Eastern Petroleum, fuel costs, oil drilling, price rising