2 groups keen on putting up oil refineries in Philippines

Two foreign investor groups are looking to put up oil refineries, depots and other related infrastructure in the country, which may allow the Philippines to export finished petroleum products to neighboring countries in the long term.

At the sidelines of the Philippine economic briefing on Tuesday, Energy Secretary Jose Rene D. Almendras said one of the investor groups had started negotiations with state-run Philippine National Oil Co. for the lease of the area, where it plans to put up the refinery.

One of the refineries may be put up in Luzon. Proponents are still scouting for the site of the other refinery.

Should these two refinery projects push through, they are expected to cater not only to the Philippine market, but also to the Asean market, Almendras said.

“My aspiration was to have a strategic oil reserve for the Philippines and to have more crude oil on storage or onshore so in case of emergency, we can ensure our fuel supply. Because the government cannot put up those strategic oil reserves, I went out to look for people who are interested in these projects and I invited them to go to our country,” he said.

According to Almendras, he was marketing the Philippines as a strategic investment location where investors could put up refinery hubs that could serve the Asean region. The two investor groups were among those that have responded to the invitation of Almendras.

The energy chief, however, declined to identify the companies involved as they have signed strict nondisclosure agreements with the parties.—Amy R. Remo

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