MANILA - Pilipinas Shell Petroleum Corporation on Thursday said transforming its oil refinery in Tabangao, Batangas into an import terminal has made it "better positioned" operationally and financially.
Shell said it inaugurated its Tabangao Import Terminal last June 30, to enhance its capacity to meet fuel demand not just in Metro Manila, but also in Southern Luzon and Northern Visayas.
The company said the terminal demonstrates its "commitment to provide sustainable energy to the Philippines despite the challenging conditions posed by the pandemic."
"We are now better positioned, operationally and financially, to serve the country’s energy needs as the economy reopens with the lifting of restrictions,” said Pilipinas Shell president and CEO Cesar Romero.
Shell said the terminal fits into its aims to build a more resilient supply chain with a robust logistics setup.
The Tabangao facility has a storage capacity of up to 263 million liters and can accommodate vessels that can carry around 30 million to 50 million liters of petroleum products like gasoline or diesel, Shell said.
Last year, Shell said it would shut down its Tabangao refinery permanently due to the impact of the COVID-19 pandemic.
The oil giant said this decision is seen to secure the “long-term sustainability” of its business and thrive in the new normal and energy transition.
This left Petron's refinery in Bataan province as the country's only operating refinery.
San Miguel Corp, the majority owner of Petron, last year said it was also mulling the refinery's closure as new tax laws made it more expensive to operate.
But during San Miguel's stockholders' meeting last May, SMC president Ramon Ang said they would continue operating the refinery.