PTT expanding presence in Philippines
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 programme that may require as much as 240 million pesos (Bt172 million) in fresh capital.
Roby Tanjuatco, marketing officer at PTT Philippines, said the company had already set up seven of the 12 petrol stations that it was targeting to establish 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 petrol stations is expected to cost 10 million to 20 million pesos, depending on the size and location, he added.
PTT, which has a bigger presence in the wholesale commercial business, is looking to expand its brand further on the retail level, Tanjuatco said.
He noted that the company was expanding in Cebu as well as in northern and central Luzon. In Cebu alone, PTT has eight stations.
PTT is likewise considering putting so-called mega-stations along major highways and expressways.
Tanjuatco said PTT was conducting a study on the feasibility of establishing a mega-station along the north and south expressways for possible construction of these outlets by next year.
The petrol stations can be purely company-owned and -operated, or they can be dealer-operated but company-owned, he said.
Tanjuatco declined to state the possible costs of setting up a mega-station, as this would depend on the acquisition of the property and the size of the area to be developed.
This year, the Philippine Department of Energy (DoE) asked PTT to continue expanding its operations in the country, despite the difficulties encountered by industry players in the past.
This move, said Energy Secretary Jose Rene 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 Philippine government’s efforts to diversify and widen the 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 Philippines, categorised as oil majors (Petron Corp, Pilipinas Shell Petroleum Corp and Chevron Philippines), new players, and independent players, data from the DoE showed.
