Bataan Petroleum to build P121-M facility

A new market player in the petroleum industry will build a P120.94-million refining, storage marketing and distribution facility for petroleum products in Planters Products Inc. Compound Barangay Lamao, Limay, Bataan.

The Bataan Petroleum Terminal Inc., a 100-percent Filipino-owned corporation, will provide storage facilities to its affiliate companies such as Andan Enterprises Inc. and Mawab Resources either through storage or lease agreements.

The Department of Trade and Industry (DTI) through the Board of Investments (BOI) has allowed  Bataan Petroleum Terminal to register as a New Industry Participant with New Investments under Republic Act 8479 otherwise known as the Downstream Oil Industry Deregulation Act. 

Under RA 8479, Bataan Petroleum Terminal is entitled to avail of government incentives for five years. The law promotes a free market atmosphere in the local oil industry similar to the pre-1973 condition. 

It has liberalized the downstream oil industry; established uniform tariff duties on both crude oil and refined petroleum products; promoted fair trade practices and free competition; encouraged entry of the new players in the industry and promoted retail competition. 

The local downstream oil industry has been deregulated since 1998 and is currently dominated by two major oil refining and marketing companies – Petron and Pilipinas Shell. 

The Bataan Petroleum Terminal Inc. will finance the project through equity. The firm’s activity is a combination of storage or terminalling and distribution or transshipment of petroleum products. Services likewise include receiving/discharging and storing of petroleum crudes and other byproducts.

Once completed, the storage and terminal facility will service Mawab Resources.

Mawab Resources Inc. was incorporated in February 2001, principally to engage in the sales and distribution of petroleum products, both as a wholesaler and retailer.

The Company’s initial years of operation concentrated mainly on the wholesale distribution of key petroleum products such as diesel, gasoline, kerosene and bunker fuel oil to independent petroleum retail outlets, manufacturing.

The Company has maintained a loyal and satisfied customer base consisting of independent retail outlets, established distributors and direct end users. The Company now operates seven energy stations which are strategically located at Taguig City, Baliuag and Guiguinto Bulacan, Pagsanjan Laguna, Tanay Rizal, DAvao City And Binagonan Rizal.