DOE warns oil prices to rise P0.20-P0.60 per liter next week

The Department of Energy announced that oil prices in the Philippines are expected to rise next week due to increased global production, US tariff rates, and supply issues.

According to Rino Abad from the DOE Oil Industry Management Bureau, gasoline could increase by P0.20-0.30 per liter, while Jetti Petroleum president Leo Bellas projects a PHP0.40 to PHP0.60 per liter rise in gasoline prices.

Diesel is expected to see an increase of P0.50-60 per liter according to Abad and up to PHP1.00 per liter based on Bellas's statement.

Bellas noted that diesel and refined fuel prices 'rebounded this week' due to concerns over supply disruptions caused by intensified attacks on energy infrastructure in Russia and Ukraine, coupled with new US sanctions on Russian crude oil buyers.

Factors such as potential interest rate cuts from the US Federal Reserve, large drawdowns in US crude and fuel inventories, and OPEC+ plans to raise September output are also influencing price movements.