The marketing unit of oil and gas giant Total S.A. and Philippine independent oil company Filoil Energy Co. Inc. have partnered to widen both firms’ fuel business in the country. In a statement, Total and Filoil said they have agreed to create a joint venture for the fuel sales business in the Philippines.
Total said the partnership would create a marketing and logistics company which would be subject to approval of government authorities. Filoil has 236 retail stations and nine depot terminals nationwide while local unit Total Philippines Corp. operates a network of over 200 service stations throughout Luzon and the Visayas. With the combined business, Total’s network will expand to 442 from 206 stations and its retail market share from three percent to six percent. Total said the joint venture would also benefit from a strong supply infrastructure throughout the archipelago.
“The synergy from Total’s operational expertise and Filoil’s excellent nationwide logistics will propel our growth in the Philippine market,” said Francois Dehodencq, senior vice president for Total Marketing & Services. “This partnership allows Total to continue its development in Asia-Pacific and brings to 1,700 the number of service stations we have in the region,” said Dehodencq, who is also the head of Total’s downstream business in Asia-Pacific.
Earleir this week, PNOC Exploration Corp., the upstream subsidiary of state-owned Philippine National Oil Company (PNOC), showed interest to invest approximately $182.3 million (PHP 8.4 billion) in the country’s ageing Malampaya natural gas and other petroleum exploration projects this year, up 4.4 percent from 2015 approved budget of $174.5 million (PHP 8.039 billion), according to local media The Standard. The company allocated $29.6 million (PHP 1.365 billion) in spending this year for the deepwater Malampaya gas project, which is located in SC 38 in the northwest Palawan offshore western Philippines where it has a 10 percent interest.
(Reported by thePhilstar.com)