Leading oil companies Shell, Seaoil, Cleanfuel, and Caltex have announced a substantial price increase set to take effect on Tuesday, July 18.
The decision comes on the heels of Saudi Arabia’s recent declaration to reduce its oil production by 1 million barrels per day this month.
Starting tomorrow, motorists can expect a significant surge in gasoline prices, with oil firms raising the rates by P1.90 per liter. Additionally, diesel prices will experience a sharp hike of P2.10 per liter. Meanwhile, kerosene prices will also see an increase, with Shell, Seaoil, and Caltex imposing an additional P1.80 per liter.
This announcement follows the oil companies’ adjustments made on July 11, 2023, where they slightly lowered gasoline prices by P0.20 per liter. However, diesel prices were raised by P0.75 per liter, while kerosene prices went up by P0.50 per liter.
The decision to raise prices by the oil companies comes as a direct response to Saudi Arabia’s decision to cut oil production, which has contributed to the tightening supply and subsequent rise in prices on the global oil market.
The reduction of 1 million barrels per day from the world’s largest oil exporter is expected to have far-reaching consequences, impacting economies and industries around the globe.
