MANDAUE CITY—Seaoil Philippines is embarking on an aggressive P3-billion expansion program over the next three years, in a bid to cement its position as the “leading independent fuel retailer in the Philippines.”
In a briefing here Friday, Seaoil president and CEO Glenn Yu said the plan is to double the oil company’s station network to 400 by end-2014, and increase the number of depots in strategic locations nationwide.
According to Yu, the first P1 billion will be spent in 2012 to beef up its retail gas network by 60 new stations.
Of this number, 30 stations will be put up in Luzon; 15 will be located in the Visayas; while the remaining 15 will be constructed in Mindanao, Yu disclosed.
Yu added that Seaoil expects to allocate another P1 billion in 2013 and 2014 to complete the expansion program.
“We expect to expand through franchising. We have reorganized the company to focus more on retail expansions. We believe there are underserved areas. There are more islands in the Philippines than gas stations so there are still many areas where we can expand into,” Yu explained.
“We are bullish on the local economy. In the Philippines, relatively speaking, we are in a good place right now … the local business climate is quite positive,” he added.
Seaoil has 200 stations, with the latest one opened yesterday in Plaridel, Mandaue City.
According to Yu, the company’s 200th station marked a milestone for new entrants like Seaoil in a deregulated downstream oil industry.
This Plaridel station is the fourth retail gas station of Seaoil in Cebu and Yu believes that the opening of Seaoil stations in Cebu has helped bring down prices of petroleum products.
“Several years ago, there was some concern about prices in Cebu. By the mere presence of Seaoil, we were able to bring in what we were able to do in Luzon, which is to help make fuel prices more competitive. This is part of our consumer advocacy,” Yu said.
Fuel prices in Cebu are now comparable to prices in Metro Manila, he added.