Oil Monitor as of 16 June 2015


WORLD OIL PRICES  (June 8-12, 2015 trading days) 

The trading week began with crude oil prices posting consistent increases, reversing declines in previous week as OPEC left production level unchanged at 30 million barrels per day in their 05 June 2015 meeting.

The price run-up was supported by the following reports:

     • US peak demand season. Expectations that demand for gasoline and diesel will pick up this month with the start of the peak season for road travel in the United States;

     • Bets across the oil market. Bets made by bullish investors for another weekly drop in U.S. stockpiles;

     • EIA’s greater demand forecast.  U.S. Energy Information Administration (EIA) forecast for this year's oil demand was at     380,000 barrels per day, up from 340,000 bpd previously;

     • Drop in US inventory.  For the week ending June 5, the US Department of Energy's inventory report showed US crude stocks fell 6.8 million barrels; gasoline supplies dropped 2.9 million barrels.  Crude supplies fell for the sixth straight week;

     • Fall in Chinese inflation data, Chinese inflation fell to 1.2 percent in May, suggesting the world's number two economy is     stalling, potentially prompting more monetary stimulus. 

Reports of significant amount of crude supply remaining in the market pulled prices lower by over a dollar last Thursday and Friday.  

In the Asian front, Platts reported that gasoline sentiment took a hit Friday as traders became more cautious after the 92 RON gasoline crack set a record high Thursday. The retreat was in line with a broader fall in the energy complex.  Nevertheless, strong spot gasoline demand and turnarounds at refineries maintained the relative tightness in the Asian gasoline market.     

As for gasoil/diesel, market remains pressured by excess supply as refineries started to return from scheduled maintenance and running at higher rates due to good margins, Platts said.    

Overall, Dubai crude price increased week-on-week by US$.55/bbl.  MOPS diesel remained at last week’s average while gasoline increased by around US$2.50/bbl.  

FOREX:   Peso/US$ rate depreciated by P0.28 to P45.03, from P44.75 in previous week. 

Other recommended reference sites:  (1) http://www.aip.com.au/pricing (2) http://www.med.govt.nz/ers/oil_pet/prices/prices.html 


DOMESTIC OIL PRICES

Effective today, 16 June 2015, most of the oil companies implemented a P1.05/liter increase in gasoline and P0.15/liter in diesel and kerosene.  

Year-to-date total adjustment rose to net increases of P5.69/liter for gasoline and P1.06/liter for diesel. LPG remained with net decrease of P6.60/kg.

As monitored, shown below are the retail prices in Metro Manila beginning 9 June 2015..

Products        Price Range        Common Price
                                            P/liter
Diesel      28.85-32.20            30.05
Gasoline*      41.20-47.85            46.95
LPG, P/11-kg cylinders    480.00-680.00  

* RON 95

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: http://www.doe.gov.ph

Oil Monitor as of 23 June 2015


WORLD OIL PRICES  (June 15-19, 2015 trading days)) 

Crude oil prices are generally lower this week than in previous week. A sharp decline on Friday last week due to reports of ample supplies continued up to this week despite reports of the seventh weekly drop in US crude reserves and ahead of decision by the Federal Reserve on the interest rate.

The week’s price movement was said to have been weighed by the following reports:

  • Greek debt crisis. The news raised concerns of weaker demand for petroleum in Europe;

  • Peace talks. US started talks to try to bring peace to Yemen, where OPEC heavyweight Saudi Arabia is involved in a civil war;

    Surplus supply. OPEC produced 31.2 mil b/d in May 2015, more than the group’s agreed level of 30 mil b/d. Output is also increasing in Libya, where production has been constrained by civil war. A deal on Iran's nuclear programme could lead to sanctions being lifted, allowing Tehran to increase exports;

    Tropical storm warning. The US National Hurricane Center (NHC) issued warning that tropical storm Carlos may hit the coast of the oil-producing state of Texas;

    US-DOE inventories. U.S. commercial crude inventories sank by 2.7 million barrels in the week ending June 12, greater than market expectations of a 1.8-million decline. “The weekly (DoE) oil inventories report failed to provide any upside momentum as crude oil stocks at the key location of Cushing, Oklahoma, rose 112,000 (barrels) versus expectations of a 837,000 drop.

As for oil products in Asian market, gasoline was relatively stable on resilient regional demand. Fundamentals were still being supported by spot demand from India and Southeast Asia.

Meanwhile, the Asian gasoil market remained bearish with expectations that the outlook for July will stay bleak, Platts noted. There is ample supply in the market while demand from Vietnam and Sri Lanka remained steady. Yet demand from West Africa for 500 ppm gasoil was also seen.

Overall, Dubai crude price decreased week-on-week by about US$0.70/bbl. Likewise, MOPS gasoline and diesel decreased by about US$0.40 and US$1.00 pe barrel, respectively.

FOREX:   Peso/US$ rate depreciated by P0.09 to P45.12, from P45.03 in previous week.  

Other recommended reference sites:  (1) http://www.aip.com.au/pricing (2) http://www.med.govt.nz/ers/oil_pet/prices/prices.html 

DOMESTIC OIL PRICES

The oil companies implemented a P0.25/liter decrease in diesel effective today, 23 June 2015. There was no adjustment effected on the price of gasoline (Table II).

With the price decrease, the total net increase to-date for diesel was reduced to P0.81/liter. Gasoline and LPG remained at net increase of P5.69/liter and a net decrease of P6.60/kg, respectively.

As monitored, shown below are the retail prices in Metro Manila beginning 23 June 2015.

Products Price Range Common Price
P/liter
Diesel 28.70-31.95 29.80
Gasoline* 42.20-47.85 46.95
LPG, P/11-kg cylinders 480.00-680.00  

* RON 95

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: http://www.doe.gov.ph

Pages