Philippines seeks UAE partnership for strategic oil hub

The Philippine government is pursuing a partnership with the United Arab Emirates to develop a strategic oil storage facility. The project aims to position the Philippines as a regional energy hub and mitigate the impact of global oil price volatility on domestic consumers.

Senate Energy Committee Chairperson Erwin Tulfo led a delegation to Abu Dhabi for discussions with the Abu Dhabi National Oil Company (ADNOC). The proposed cooperation could expand into a broader energy partnership involving crude supply, refinery investment, fuel retail networks, renewable energy, and gas-to-power development. ADNOC, which currently supplies approximately 40,000 barrels per day to Petron, expressed willingness to advance the partnership and proposed sharing an existing storage contract framework for review.

A tentative rollout target has been set for the second quarter of 2027, though the timeline depends on final agreements regarding site selection, infrastructure responsibilities, commercial terms, and implementation schedules. The Philippine delegation included Ambassador Alfonso Ver and Special Envoy Kathryna Yu-Pimentel.