Plan calls for additional investments of P240M
PTT Philippines Corp., a subsidiary of Thailand’s largest oil firm, is increasing its investments and presence in the country, as it expects to complete an expansion program that may require as much as P240 million in fresh capital.
Roby Tanjuatco, marketing officer at PTT Philippines, said the company had already put up seven out of the 12 stations that it was targeting to put up this year, which will bring to more than 50 the oil company’s total number of outlets in the country. Each of the 12 new gas stations is expected to cost P10 million to P20 million, depending on the size and location, he added.
According to Tanjuatco, PTT, which has a bigger presence in the wholesale commercial business, is looking to expand further its brand on the retail level.
Tanjuatco noted that the company was expanding in Cebu, as well as in North and Central Luzon. In Cebu alone, PTT has eight stations. PTT is likewise considering putting up so-called “mega-stations” found along major highways and expressways.
Tanjuatco said PTT was conducting a study on the feasibility of putting up a mega-station along the north and south expressways for possible construction of these outlets by next year. The gas stations can be purely company-owned and operated, or it can be dealer-operated but company-owned, he further said.
Tanjuatco declined to give the possible costs of putting up a mega-station as this would depend on the acquisition of the property and the size of the area to be developed.
Earlier this year, the Department of Energy (DoE) asked PTT to continue expanding its operations in the Philippines, despite the difficulties encountered by industry players in the past.
This move, according to Energy Secretary Jose Rene D. Almendras, was meant to encourage competition in the local industry. “We’re trying to invite as many players as we can to the country. It’s not just PTT. The more players, the better for us.”
Getting PTT to expand in the country formed part of the government’s efforts to diversify and widen the Philippine downstream oil industry landscape.
Since the deregulation of the downstream oil industry in 1998, there are now more than 240 oil companies operating in the country, categorized as oil majors (Petron Corp., Pilipinas Shell Petroleum Corp. and Chevron Philippines), new players, and independent players, data from the DoE showed.
==============================================================================
By: Amy R. Remo
Source: Philippine Daily Inquirer, Oct. 21, 2011
To view the original article, click here.
Comment here