Department of Energy (DOE) Secretary Alfonso Cusi said a big-time oil price rollback may be expected next week if the improving situation in the global market continues.
During President Rodrigo Duterte’s Talk to the People, Cusi said a decrease of P5 per liter for gasoline and P12 per liter for diesel is possible during next week’s price adjustment.
He based his outlook on the average price of Dubai crude in the past two days which stood at USD104.79 per barrel, lower than last week’s average of USD122.61 per barrel.
“Kung magtutuloy-tuloy po ito sa ganitong trend at umabot po ng USD104, USD105 per barrel, makaka-experience po tayo ng pagbaba ng presyo next week (If this trend continues and settles around USD104 or USD105 per barrel, we can experience price reduction next week),” Cusi said.
The DOE chief attributed the declining oil prices in the global market to coronavirus disease 2019 (COVID-19)-related lockdown in China that slows down oil demand, as well as the negotiation for a ceasefire between Russia and Ukraine.
He added global oil prices could further go down if the sanctions on Venezuela, Iran, and Syria are lifted, as these countries can add more than 1 million barrels of oil in a day.
