Saudi Aramco to re-enter PH market via Unioil stake acquisition

Aramco Asia Singapore Managing Director Fai Aldossary, sitting right, signs the agreement with Unioil CEO Janice Co Roxas-Chua, sitting left. Standing, from left, are Aramco Trading Vice President of Trading Growth and Origination Abdulaziz Al-Hamdan, Unioil President Kenneth Pundanera, Aramco Director of International Retail Nader Douhan, Unioil CFO Geminesse Co, Aramco Executive Vice President of Products and Customers Yasser Mufti, Aramco Vice President of Retail Ziyad Juraifani, and Aramco Director of Downstream Transaction Development Amr Daiel. | PHOTO: Aramco website

MANILA, Philippines — Saudi oil giant Aramco plans to revive its presence in the Philippine market by acquiring a 25-percent stake in Unioil Petroleum.

Aramco is known as one of the leading integrated energy and chemical companies worldwide, while Unioil is a major petroleum player in the local sector.

READ: Saudi Aramco says Q3 profit drops 15% on low oil prices

In separate statements, both parties disclosed that they entered into definitive agreements regarding Aramco’s purchase of a 25 percent interest in Unioil.

No target timeline has been disclosed yet, as the transaction remains subject to closing conditions and regulatory approvals.

Aramco said it wanted to invest in the country again to cash in on the “anticipated growth of the high-value fuels market in the Philippines.”

“This investment represents another step forward in our global strategy to expand Aramco’s retail network, and we look forward to introducing Aramco’s high-quality products and services to customers in the Philippines,” said Yasser Mufti, Aramco executive vice president of products and customers.

This move came almost 17 years after Aramco exited Petron Corp.

Unioil has been in the market since 1966, allowing it to expand its fuel products across the country.