Oil prices seen up this week

INQUIRER FILE PHOTO

Oil prices are expected to increase this week by an estimated P1.10/L for gasoline, P1.50/L for diesel and P1.10/L for kerosene, industry sources said, due to speculation during trading last week on whether oil producers would cut output to defend prices.

READ: Oil producers fail to agree on output freeze

No such thing happened as the Sunday meeting in Doha, Qatar, ended without an output freeze agreement between members of the Organization of the Petroleum Exporting Countries (OPEC) and non-members who are also major exporters, such as Russia. Participants in the meeting, who collectively supply about half of the world’s oil, are expected to continue consultations until the next OPEC meeting in June.

READ: Oil producers meet amid Saudi-Iran row over output freeze

However, bullishness among traders seemed strong enough to drive prices up even if the global oil market is oversupplied at this time, according to the Department of Energy.

Oil companies operating in the country have not made official announcements on this week’s increase, which will likely start Tuesday, April 19. However, industry sources said there will likely be a hike of around P1 to P1.10/L for gasoline, P1 to P1.50/L for diesel and P1 to P1.10/L for kerosene. RAM