Bitumen| INQUIRER STOCK PHOTO
Oil giant Shell Pilipinas Corp. is aiming to hit at least a 10-percent growth for its bitumen business this year amid the Marcos administration’s push for more infrastructure projects.
According to Allan Cañedo, country business manager for construction and road sector, Shell Pilipinas was the biggest player in the sector as it secured almost half of the total volume the Philippines imported in the first quarter. A byproduct of crude oil, bitumen is mostly used as waterproof and adhesive to bind building materials together.
Majority, or 90 percent, of Shell’s bitumen deliveries go to government projects, he said.
READ: The transformative impact of infrastructure on Philippine industrial real estate
“Based on import data from customs, the last quarter, we were able to get 41 percent of the product that arrived in the Philippines,” he told reporters in a roundtable discussion Monday, without providing the exact volume.
Last year, Shell Pilipinas was able to sell 36 kilotonnes of bitumen. For 2024, Cañedo said they were targeting to dispatch 40 kilotonnes to 45 kilotonnes.
He expressed optimism that the company would maintain dominance for the rest of the year, especially as the government ramps up funding releases for infrastructure. He was also banking on the investments to be made out of the Maharlika funds, particularly farm-to-market networks.
Cañedo noted that the country’s infrastructure projects were “rising.”
Cañedo stressed its clients involved in infrastructure, not the company itself, directly transact with the government.
“We are only asked to participate if there’s clarification on new technology [that the government will use] outside the knowledge of the DPWH (Department of Public Works and Highways),” he said.
He said Shell Philippines cover the bitumen demand of almost 80 percent of projects in Mindanao and 30 percent in Metro Manila. INQ