Metro Pacific Investments Corporation (MPIC) is looking to expand the Philippine Coastal Storage and Pipeline Corporation’s (PCSPC) existing 84-kilometer oil pipeline going into Metro Manila in anticipation of increasing fuel demand.
The pipeline is part of PCSPC’s oil import facility based in Subic. MPIC and Singapore-based Keppel Investment Trust initially invested 20% in PCSPC in December 2020, while the acquisition was completed last February.
In a report by the Manila Bulletin, MPIC chairman Manny V. Pangilinan said expanding the pipelines to Metro Manila from Subic would serve as a cheaper way to transport oil. The current pipeline stretches from PCSPC’s oil terminal in Subic to the POL (petroleum, oil, and lubricants) tank farm in Clark, Pampanga.
He added that there are already plans to expand in other areas as expansions may be a wise investment in line with the company’s goal to eventually venture into gas. However, there still are studies being conducted and project blueprints have yet to be firmed up.
Pangilinan also noted that the expansion plans on PCSPC’s oil import terminal component are still being finalized, so its distribution points will be strategically dispersed nationwide. Among the expansion areas are Davao, Northern Mindanao, Cebu, and other parts of Luzon.
He asserted that the motive for investing in expansion is the huge need for the terminal facility and the oil pipeline to stop relying on imported petroleum products with local oil refineries closing operations.
As part of the long term investment trajectory of the MVP Group, Pangilinan stressed that the PCSPC acquisition will eventually be integrated to the planned gas facilities of the group, especially if there would be commercial gas discovery at its exploration venture in Recto Bank.
Photo from PCSPC website.
