PNOC mulls IPO to privatize shipping unit

State-owned Philippine National Oil Co. (PNOC) is looking into the possibility of undertaking an initial public offering (IPO) of its subsidiary, PNOC Shipping and Transport Corp. (PSTC).

PNOC president Eduardo Manalac said an IPO is one of the options being considered in privatizing the shipping company’s shares. Another privatization scheme being eyed for PSTC is the direct sale of assets, particularly its tankers.

Manalac said they may also consider allowing a joint venture partner to buy into the shipping company.

"We are yet to come up with a decision on how we would privatize PSTC," he said.

PSTC is primarily engaged in the business of shipping, tankering, lighterage, barging, towing, transport, and shipment of goods, chattels, petroleum and other products, marine, and maritime commerce in general.

The company presently maintains four tankers ( three owned and one chartered-in tanker) with capacities ranging from 23,000 barrels to 30,000 barrels. PSTC operates to transport petroleum products within the country.

PSTC has been envisioned to become the strategic leader in the marine transport of energy resources, through its professional team providing quality service to its customers.

It aims to be the best provider of quality tankers and allied services through customer-centric business approach and ISO-certified quality systems and procedures.

One of PSTC’s clients is Petron Corp., the country’s largest oil refiner and also one of the subsidiaries of PNOC.