MANILA, PHILIPPINES – Motorists should brace themselves for a significant increase in domestic pump prices of petroleum products next week, as global crude oil prices soared past $100 per barrel amid the escalating Russia-Ukraine conflict.
An oil industry source told GMA News Online that the price of diesel per liter may rise by P4.20 to P4.50 based on monitoring of oil trading in the last four days and the Mean of Platts Singapore.
Meanwhile, gasoline prices may rise by P3.00 to P3.30 per liter.
The Mean of Platts Singapore (MOPS) is used by the local oil industry, which is the daily average of all trading transactions between buyers and sellers of petroleum products as assessed and summarized by Standard and Poor’s Platts.
Diesel prices are expected to rise by P5.30 to P5.50 per liter, while gasoline prices may rise by P3.60 to P3.80 per liter.
Meanwhile, kerosene could see a P4.00 to P4.10 per liter price increase.
Prior to the recent increase, petroleum prices had risen by as much as P10 to P11.
Oil briefly surpassed $100 per barrel near the end of February, just as Russia announced a “military operation” against Ukraine. WTI crude surpassed $110 per barrel a few days later.
Russia, the world’s third largest oil producer, has been facing economic sanctions due to what is described by reports as the biggest assault on a European state since the Second World War.
Global benchmark Brent crude soared to over $119 per barrel as Russia’s invasion of Ukraine sent jitters across oil markets.
Fuel firms usually announce price changes every Monday and implement the adjustments on Tuesday.
Oil companies implemented price hikes last Tuesday, March 1, marking the ninth straight week of increases since the beginning of the year.