Total to open 20 new stations this year

MANILA, Philippines - Multinational oil player Total Philippines, Corp. is fasttracking its expansion of gasoline stations this year on the back of better economic prospects.

The bulk of new gas stations will be located in Luzon and the Visayas.

“Our target is to open 20 (new) stations this year. We are 174 now,” said Malou L. Espina, manager for corporate communications of Total Philippines.

The growth pace is faster than the previous years’ tally of 18 new branches annually, Espina said.

Total Philippines, whose main branch network is in the Luzon mainland, is the local subsidiary of Total SA of France.

Earlier, Total Philippines said benchmark investment for every gas station is around P30 million. This year’s expansion will require around P600 million in capital.

“The Philippines continues to be an important market for Total. We continue to be confident,” Espina said.

“Luzon of course continues to be a growth area for us and also Visayas,” Espina added.

Most branches of Total Philippines are located in the Luzon mainland, with several gasoline stations in Iloilo, Cebu, Negros in the Visayas.

Asked about expansions in Mindanao, Espina said “that will always be a consideration.”

For one, Total Philippines has yet to chart its plans for an oil depot in Mindanao

“First of course there should be a supply source and then you build your network,” Espina said.

So far, the company owns and operates an oil distribution terminal in Mariveles, Bataan that can store 50 million liters of fuel and another one in Manila Harbor Center in Tondo, Manila with a storage capacity of nine million litres of fuel.

Total Philippines also has three satellite depots including one in Negros and in Cebu.

The company had previously announced its hesitation in expanding into Mindanao, which is hounded by security concerns.

The oil and gas distributor, which will be celebrating its 15th year in the country this year, aims to open 300 to 350 gas stations across the country to reach a critical mass in the local oil industry.

In July, Total Philippines signed a deal for Philippine Seven Corp., the local franchisor of the 7-Eleven chain of convenience stores, to lease space and other facilities in the chain of gas stations starting with the branch in Subic.

Total Philippines also owns a liquefied petroleum gas terminal in Batangas and two LPG refilling stations within Metro Manila.