PNOC offers Bulacan site as Pandacan alternative

The Philippine National Oil Co. on Thursday offered a site on which the oil depot currently in Pandacan, Manila could be transferred. A PNOC official, who refused to be named, said it is looking at the possibility of establishing a 45-kilometer petroleum pipeline worth $200 million with a receiving terminal in Pulilan, Bulacan that may finally help resolve the Pandacan issue. The official said PNOC has received a proposal from a European group to jointly develop the the pipeline, which will originate from Petron Corp.'s refinery in Limay, Bataan. PNOC owns 40 percent of Petron, one of the locators in the Pandacan oil facility. The European investors, which already have an existing project in Coastal Road, have acquired a 64-hectare property in Pulilan near the North Luzon Expressway which can be a strategic alternative relocation area for the Pandacan oil depot. According to the official, the group has already set-up the Bulacan property to house an oil warehouse. “Based on their proposal, they have already put a buffer zone in their property," the official said. Bulacan, the PNOC official said, would still be an ideal location for an oil warehouse as it is still near Metro Manila area which presently consumes 60 percent of Pandacan’s supply. “Though the proposed facility will be directly beneficial for Petron as it can directly pump its products from Limay to Pulilan, other locators in Pandacan like Shell and Caltex could also use the facility if they like," the official said. The official also pointed out that the project would be financed solely by the European group. Under the proposed project, the45-km oil pipeline would traverse through the Manila de Bay to Bulacan. If all necessary documentation and permits are secured, the PNOC official said they see the project to be completed within 18 months. Some 50 percent of the country’s total fuel demand is serviced by the Pandacan Terminal. The Supreme Court however, has ordered the terminal to be transferred, as the land it sits on has been re-classified into commercial from being industrial property. The Supreme Court is still deliberating on various appeal cases on its ruling.-GMANews.TV