WORLD OIL PRICES (April 4-8,2022 trading days)

Reasons for the Price Adjustment¹

• Prices started again to retreat after ban on Russian energy faced opposition in the European Union (EU). The fall was also supported after US EIA data released late-April 6, showing that crude stocks in the country ballooned 2.42 million barrels in the week ended April 1 to 412.37 million barrels. This came as US crude output rose 100,000 b/d to 11.8 million b/d, marking its highest level since December 2021.
  • Prices fell sharply with crude futures trading mid-day on April 7 below $100/b for the first time after March 17 as the IEA announced that member countries have agreed to release 120 million barrels of oil from storage, which includes 60 million barrels from the US, which makes the total SPR release around 240 million barrels
• Gasoline demand in Asia stayed put amid increased driving activity in the region. For instance, Indonesia has loosened travel restrictions for the Ramadan festival, Malaysia has opened its borders on April 1 for international travelers amid rising tourism demand, and gasoline demand in Vietnam was also supported by cuts to environmental protection tax rates intended to combat high fuel prices.
• The Asian gasoil/diesel market kicked off the week of April 11 with a flurry of tender activity, reflecting a strong selling interest from Asian producers with surplus barrels amid robust product cracks.
• Strong product cracks for gasoil continued to incentivize refiners in Asia to maximize its yield and channel excess barrels into the export market, further supported by the steep backwardation in the gasoil market structure discouraging the storage of barrels.

FOREX:Philippine peso appreciated week-on-week against the US dollar by P0.56 to P51.40 from P51.96 in previous week.

Other recommended reference sites:
    • http://www.aip.com.au/pricing
    • http://www.indexmundi.com/commodities/?commodity=crude-oil-dubai
    • https://www.quandl.com/data/ODA/POILDUB_USD-Dubai-Crude-Oil-Price

DOMESTIC OIL PRICES

Effective 12 April 2022, the oil companies implemented a price decrease in domestic oil products. Gasoline has dropped by P1.00 per liter, diesel by P0.35 per liter, and kerosene by P3.00 per liter.

These resulted to the year-to-date adjustments to stand at a net increase of P15.00/liter for gasoline, P25.65/liter for diesel and P21.10/liter for kerosene.

For the updated prevailing retail pump price, please browse this link: https://www.doe.gov.ph/price-monitoring-charts?q=retail-pump-prices-metro-manila.

For more information, call the

Department of Energy
Pricing: 840-2187
LPG: 840-2130
Fuels: 840-5669
SMS: (0915) 4469421
Email: oilmonitor@doe.gov.ph
Website: https://www.doe.gov.ph

_______
¹ Asia Pacific Weekly Recap by S & P Global Platts Analytics