THE RENEWED tension between the United States and Iran has a relatively low effect on oil prices, says an energy department official.
According to Department of Energy – Oil Management Bureau (DOE-OMB) Director Rino Abad, the changing course of actions of countries at war against each other hardly matters anymore.
“Mukhang nalilito ang oil market kaya di sila makadiretso ng taas, hindi rin sila makadiretso ng baba. Kaya ang epekto, nagiging stable yung galaw ng daily trading at hindi malakihan yung mga nangyayaring paggalaw,” Abad was quoted as saying in a television interview.
This comes as DOE official hinted at a “big chance” of rollback in diesel prices next week despite the continuing tension between the United States and Iran.
Abad said the following adjustments may be expected next week based on the four-day trading at the Mean of Platts Singapore, excluding premium costs:
• Gasoline – P2 per liter decrease
• Diesel – P2 to P3 per liter decrease
• Kerosene P0.50 per liter decrease
On Thursday, US President Donald Trump withdrew threats of further strikes against Iran, adding that a deal with Tehran to end the war could be signed in the coming days.
Abad clarified that current oil prices range from P70 to P90 per liter, and should not exceed P100 based on DOE’s monitoring.
The DOE likewise reminded oil companies of the agency’s sustained effort in tracking gasoline stations imposing unauthorized markups to counter rollbacks.