WORLD OIL PRICES (October 4-8, 2021 trading days)

Dubai crude has increased week-on-week by around US$3.00/bbl. MOPS gasoline and MOPS diesel have also increased by almost US$4.00 per barrel and US$ 4.40 per barrel, respectively.

Reasons for the Price Adjustment¹

• Crude oil prices rose steadily on the persistent supply squeeze amid improving global demand and high LNG and coal prices boosting demand for oil products in meeting energy needs. The rally comes amid China asking its state-owned energy companies to secure energy supplies for upcoming winter “at any cost”. Amid tightness in the global energy market, OPEC+ stuck to its scheduled increase of 400,000 b/d for oil production quotas, lower than market expectations and US DOE sticking to no plan of tapping into SPR or reimpose crude export ban.
   
• Asian gasoline complex remained almost steady on week with gasoline easing slightly on week by $0.09/b to $11.07/b on Oct. 7 Asian close underpinned by gradual reopening of key economies in Asia. Mobility metrics were seen improving in all the key consuming nations supporting higher gasoline demand.

o Additionally, higher commuting demand from China due to ongoing Golden week holidays amid tighter export quotas further firmed the regional gasoline market.

o The bullish driving sentiment reflected in the reforming spread rising steadily on week by $0.85/b to $9.13/b on Oct.7 Asian close.

• ​​​​Asian gasoil/diesel complex remained robust on supply tightness caused by reduced exports from China amid ongoing refinery turnaround season in North Asia. In Taiwan, Formosa began maintenance work at one of its CDU and residue desulphurization unit on Oct. 7. This supply tightness in the region is expected to persist until the end of the year on likelihood of no export quota allocation for the rest of the year amid ongoing energy supply crunch in China. 
   

FOREX: Philippine peso appreciated week-on-week against the US dollar by P0.23 to P50.69 from P50.92 in previous week.

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

DOMESTIC OIL PRICES

Effective 12 October 2021, the oil companies implemented a price increase in domestic oil products, i.e. P1.30 per liter for gasoline, P1.40-P1.50 per liter for diesel and P1.45 per liter for kerosene.

These resulted to the year-to-date adjustments to stand at a total net increase of P17.85/liter for gasoline, P16.50/liter for diesel and P14.19/liter for kerosene.

For the updated prevailing retail pump price, please browse this link: https://www.doe.gov.ph/price-monitoring-charts?q=retail-pump-prices-metro-manila.

For more information, call the

Department of Energy
Pricing: 840-2187
LPG: 840-2130
Fuels: 840-5669
SMS: (0915) 4469421
Email: oilmonitor@doe.gov.ph
Website: https://www.doe.gov.ph

_______
1 Asia Pacific Weekly Recap by S & P Global