A CASE STUDY ON DIFFERENT MAJOR PLAYERS OF FUEL OIL IN THE

PHILIPPINES
By: Albao, Jennifer A.
BSME-5TH YR
Abstract
The three major players of fuel oil in the past five years have eroded the market share of the
country. The major oil companies hold of the total petroleum products market in the Philippines
continued to decrease over the years as competition at the pump stations tightened as a result of
market deregulation. The three major oil players namely Petron Corporation, Pilipinas Shell
Petroleum Corporation and Chevron Philippines cornered 60.3 percent of total demand as of end
2015. Petron maintained its lead with a 30.4 percent market share, followed by Shell with 23
percent and Chevron with 6.9 percent.
Petron Corporation
Petron Corporation is the largest oil refining and marketing company in the Philippines,
supplying more than a third of the countrys oil requirements. Petron is public company listed on
the Philippine Stock Exchange. The company's ISO-14001-certified refinery processes crude oil
into a full range of petroleum products, including LPG, gasoline, diesel, jet fuel, kerosene,
industrial fuel oil, solvents, asphalts and mixed xylene.
With their ISO-9000/2000-certified lube oil blending plant, they are also able to produce
mechanical lubricants and grease. These products are also sold through service stations and sales
centers, and directly to industrial customers. Through their nationwide network, they supply fuel
oil, diesel, and LPG to various industrial customers. Petron's largest client is in the power sector.
They also supply jet fuel at key airports to international and domestic carriers. Through more
than 1,200 service stations, they retail gasoline, diesel and kerosene to motorists and public
transport operators. They also sell their LPG brand Gasul to households and other consumers
through an extensive dealership network.
Petron is expanding to non-fuels businesses which include convenience store brand "Treats".
They have partnered with major fast-food chains, coffee shops, and other consumer services to
give customers a one-stop full service experience. They are also putting up additional companyowned and operated service stations in strategic locations.
Petron also opened its first fuel additives blending plant in the Asia-Pacific region at the Subic
Bay Freeport Zone in November 2008.

The plant has the capacity to blend 12,000 metric tons (MT) of fuel additives per year. When
used in gasoline, diesel, or fuel oil, fuel additives improve efficiency, boost engine performance,
and benefit the environment by reducing harmful emissions.
The facility was constructed in partnership with Innospec, a leading global fuel additives
supplier, based on an agreement forged in 2006. As part of the agreement, Petron constructed
and operated the plant to serve the requirements of Innospecs customers in the region, including
Petron. Petron have four categories of their products:
Petron Fuel Price:
(INCREASED)
1.40/L Blaze100, XCS95, Xtra91;
1.40/L Turbo Diesel, Diesel Max;
1.45/L Kerosene;
Pilipinas Shell Petroleum Corporation
Pilipinas Shell Petroleum Corporation engages in the production, import, market, sale, and
distribution of retail and commercial fuel products, lubricants, and specialty products in
Philippines. The company operates a network of retail service stations that sells petroleum fuels
and lubricants to private and commercial motorists. It is also involved in the wholesale of
commercial fuels to companies in various industries, including power, mining, wholesale,
manufacturing, and marine.
The company offers fuel, including gasoline and diesel; lubricants comprising engine oils;
transport fuels consisting of unleaded gasoline and diesel for on-road and off-road heavy-duty
vehicles; and heavy fuel oils, such as cracked fuel oil and straight run fuel oil for industrial
heating and manufacturing boilers. In addition, it operates Shell Select convenience stores in its
gasoline stations that offer a range of snacks, refreshments, groceries, newspapers, magazines
and hot meals. As of June 30, 2016, Pilipinas Shell Petroleum Corporation had a nationwide
network of 966 Shell Group-branded retail service stations. The company was founded in 1914
and is based in Makati City, the Philippines. Pilipinas Shell Petroleum Corporation operates as a
subsidiary of Shell Overseas Investments B.V.
Shell Fuel Price:
(INCREASED)
1.40/L VPN+ Racing97, VPN+95, FuelSave91
1.40/L VPN+ Diesel, FS Diesel

1.45/L Kerosene;
Chevron Philippines
Chevron is one of the largest investors in the Philippines, with more than $2 billion in capital
investments. They market Caltex fuels, lubricants and other petroleum products. Their network
of service stations, terminals and sales offices forms the backbone of our presence in the
Philippines.
Chevron holds an interest in the Malampaya gas-to-power project, the first natural gas
development and largest industrial project in the Philippines. From the Philippines, they provide
operational support for Chevron offices on five continents. The workforce supplies transactional,
processing and consulting services in areas ranging from finance to information technology.
Chevron has nearly 700 Caltex service stations in the Philippines. We sell a range of petroleum
products, including Caltex with Techron gasoline, Caltex Diesel with Techron D, kerosene and
jet fuel. Chevron has 20 supply facilities in the Philippines, including major terminals and
depots. Our import terminal in San Pascual, Batangas, forms the hub of our transportation and
supply operations in the Philippines. Chevron also provides jet fuel for airlines at Ninoy Aquino
International Airport. Chevron also markets Delo and Havoline lubricants and coolants, along
with other lubricating oils and greases, through distributors to consumer, commercial and
industrial customers.
Chevron Fuel Price:
(INCREASED)
1.40/L Platinum95, Silver91
1.40/L Diesel
1.45/L Kerosene
*Oil monitoring done by the Department of Energy (DOE) showed diesel prices ranged from
P23.80 to P27.47 per liter and gasoline prices from P36.85 to P42.45 per liter for the week.
Analysis
Fuel oil plays a major role in practically every aspect of our lives from technology and
transportation and the most important energy sources in the world. In line with this, it is notable
that the so-called Big 3 oil players (Petron, Chevron and Shell) used to corner nearly 100 percent
of the Philippine petroleum market before the passage of the Downstream Oil Industry
Deregulation Act of 1998. The Big 3 saw their combined market share decline to 85 percent in
2006.

Reference:
http://www.philstar.com/business/
http://www.bloomberg.com/research/
https://twitter.com/Petrol_Price
https://www.chevron.com/worldwide/philippines