Philippine Refiner Petron Buys Russian Crude, Eyes More If Iran War Persists

Article content(Bloomberg) — Petron Corp., the Philippines’ only refiner, has procured 2.48 million barrels of crude oil from Russia as the Southeast Asian nation scours the world for alternative suppliers to support domestic energy needs with the war in Iran raging.Sign In or Create an AccountEmail AddressContinueor View more offersArticle content“If the current crisis persists and alternative crude sources remain unavailable or insufficient, Petron may again be compelled to consider purchases of Russian crude oil to augment the national fuel supply,” parent San Miguel Corp. said in a statement to market regulators late on Friday.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentArticle contentThe crude will augment Petron’s inventory of petroleum products until June, San Miguel said, adding that the purchases were made “strictly out of extreme necessity.”Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentOn Feb. 28, the same day that the US and Israel launched a military campaign against Iran, Petron was advised that one shipment of 2 million barrels of crude did not gain safe passage at the Strait of Hormuz as Iran announced its closure. A second shipment of 2 million barrels of crude was also cancelled on March 7 due to the heightened risk in the Red Sea and Strait of Hormuz, San Miguel said.Article contentThe Philippines, which sources nearly all of its oil requirements from the Middle East, is trying to find alternative sources to ease the supply crunch that has triggered an energy emergency declaration by the government. It’s also negotiating for fuel supply from Japan, China, South Korea and India.Article contentManila has said it had 45 days worth of oil supplies as of March 20.Article contentThe country is set to receive this week the first batch of diesel from its order of over 1 million barrels, Executive Secretary Ralph Recto said on Sunday, citing “oil diplomacy” efforts by officials led by Energy Secretary Sharon Garin.Article contentArticle content“From Indonesia also comes the ironclad guarantee of a steady supply of coal,” Recto added. Indonesia is the Philippines’ main supplier of coal which fuels more than half of its power grid.Article contentBudget carrier Cebu Air Inc. said it has enough jet fuel supply to last until June. In a post on X on Sunday, the airline said it’s “working closely with suppliers and industry partners to ensure continued fuel availability in the months ahead” to sustain operations.Article contentIts comments followed a similar assurance by rival Philippine Airlines Inc. days earlier, whose chief said people need “to work together to make sure that everybody has access to fuel.”Article contentTrending Trans Mountain pipeline expected to run nearly full in April, bucking seasonal trends, as war continues Energy Quebec demands Air Canada’s CEO resignation in 92 to 0 vote Airlines Iran oil revenue soars as it's the only exporter out of Hormuz Oil & Gas Why waiting to lock in your variable rate often backfires Mortgages Meet the Canadian e-bike maker who is redefining the factory floor Electric Vehicles Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. Trans Mountain pipeline expected to run nearly full in April, bucking seasonal trends, as war continues Energy Quebec demands Air Canada’s CEO resignation in 92 to 0 vote Airlines Iran oil revenue soars as it's the only exporter out of Hormuz Oil & Gas Why waiting to lock in your variable rate often backfires Mortgages Meet the Canadian e-bike maker who is redefining the factory floor Electric Vehicles