Phoenix allotting Php1B capex over next few years

Dennis Uy-led Phoenix Petroleum is setting aside Php1 billion for its capital expenditures (capex) for the next few years.

In a disclosure to the Philippine Stock Exchange on Wednesday, the country’s third-largest oil player said that the money, which will be generated from internal sources, would fund its expansion plans.

‘We will continue expanding our retail business by leveraging on our existing strategic partnerships such as the joint ventures, as well as monetizing our brands through franchising. Building on the momentum of LPG [liquefied petroleum gas], we will also continue focusing on our cylinders to reach more households nationwide,” said Phoenix President and CEO Henry Albert Fadullon.

Back in April, though, it was reported that Phoenix lowered its 2021 capex to Php800 million from the original Php1.5 billion to save on cash and rationalize spending.

Based on another disclosure in March, the company said it was looking for investors to help settle its debts.

Phoenix was the only firm among the “Big 3” players to post profit at Php63 million in 2020 despite the COVID-19 pandemic. It also underwent a Php4.25 billion refinancing program to close the year.