WORLD OIL PRICES (ForJune11-15, 2012 trading days) 

Dubai crude price remained below the US$100 level though average during the week slightly edged up compared to the preceding week. Meanwhile, gasoline receded continuously as week-on-week average went down by nearly US$3 per barrel; diesel stayed almost in similar level as the previous week. Oil prices generally slipped as investors and traders were reluctant to add positions, looking forward to the result of theOrganization of the Petroleum Exporting Countries (OPEC) meeting and Greek elections. Specifically, traders were looking for any change in OPEC's output policy given that some view the market as over-supplied, while the Greek election result should deliver some clarity as to whether Greece will stay in the euro.Contrary to some market views on supply fundamentals, the International Energy Agency (IEA) noted in its latest monthly report that the world oil market is currently better supplied, “not over-supplied,” after an easing of the fundamental supply/demand balance in recent months, and given the numerous uncertainties that lie ahead for the summer. The IEA left its estimate of the call on OPEC crude in 2012 at 30.3 million b/d, yet well below its own estimate of the group's May production level of 31.85 mil b/dMeanwhile, the OPEC estimated global oil supply and demand balance to ease further in the second half of the year due in part to a slowing global economy. As such, in the group’s meeting in Vienna last Thursday, 14 June 2012, OPEC decided to cut the actual total production by 1.6 million barrels per day to meet the group's 30 million mil b/d production ceiling agreed last December 2011. The target was never adhered to and production has risen in April and May to almost 32 mil b/d, a fouryear high, despite sanctions against Iranian crude exports.

Other recommended reference sites: (1) (2) http://www.med.govt.nz/ers/oil_pet/prices/prices.html

DOMESTIC OIL PRICES 

Effective today, 19 June 2012, most of the oil companies implemented another rollback: P1.20/L for unleaded gasoline, P0.50/L for diesel, P1.10/L for regular gasoline, and P0.35/L for kerosene. This brings both gasoline and diesel to a year-to-date net decrease of P2.12/L and P3.76/L, respectively.

As monitored, shown below are the retail prices in Metro Manila beginning 19 June 2012.

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: http://www.doe.gov.ph