Pump prices set for new rollback this week

With world oil output likely reaching record highs, local motorists should enjoy a reduction in pump prices starting Tuesday morning after having to bear several consecutive price hike adjustments in the past weeks.

In separate advisories, oil companies have announced oil price reduction. Shell and Petron, two of the country’s biggest fuel firms, both said it will reduce the price of their gasoline and kerosene by per liter, while they will cut the price of diesel for per liter.

Chevron, known as Caltex, on the other hand, will slash the price of its gasoline and kerosene by per liter, while the price of its diesel is down to

per liter. Some of the country’s independent oil companies did the same, with Seaoil Philippines and PTT Philippines reducing the price of their gasoline to

per liter, while the price of their diesel now stood lower at per liter. Seaoil’s kerosene is down to per liter.

In a Reuters report, it was cited that world oil prices eased on Monday due to near-record production in most oil-producing regions, especially the Middle East.

“Oil output by the Organization of the Petroleum Exporting Countries [OPEC] likely hit a two-and-a-half year high of 31.22 million barrels per day (bpd) in May and production is not expected to be cut during a meeting of the group this Friday,” Reuters said.

As a result, front-month Brent crude futures had fallen 51 cents to $65.05 per barrel at 0129 GMT on Monday. U.S. crude futures were down 52 cents at $59.78 a barrel.

In its latest oil monitoring data, the Department of Energy (DOE) said that for Asian gasoil, ample supply in the market reportedly continued to exert pressure on increased exports from China as some refineries are resuming production after turnarounds.

“Regional demand was steady, with recent requirements seen from Vietnam. Overall, Dubai crude price decreased week-on-week by over a dollar,” DOE said.

Last week, another oil price hike was implemented due to the continued increase in the prices of refined petroleum products in the world market.

Year-to-date total adjustments now stand at a net increase of for gasoline and for diesel. LPG remained at a net decrease of