MANILA, Philippines — Independent oil player Phoenix Petroleum Philippines Inc. of Davao-based businessman Dennis Uy is optimistic of overcoming difficulties amid the challenging business environment.
In a statement made to the Philippine Stock Exchange in response to The STAR column, Phoenix said that the reported P646.97 million outstanding payables the company has with bioethanol manufacturers are being addressed.
The outstanding payables include P63.20 million to URC-La Carlota due January 2022, P43.18 million to Far East Alcohol Corp. due March 2022, P150 million to Absolut Distillers Inc. due June 2021, P204.03 million to ProGreen Balayan due June 2021, and P186.56 million to Asian Alcohol Corp. due August 2021.
“As of date, the matter with the concerned suppliers have progressed and negotiations are either ongoing or have been completed by the company with the parties,” the company said.
“In fact, Phoenix Petroleum has substantially settled some of these obligations and continues to do so until its completion,” it said.
Like other business in the country, Phoenix said it started experiencing challenges in 2020 during the slowdown in the economy brought about by the pandemic.
The company said its operations were likewise adversely affected by geopolitical issues, specifically the war between Ukraine and Russia, that drove extreme volatility in global crude oil prices.
“These negative effects are felt not only by Phoenix Petroleum, but by all other businesses in the country and in fact, globally with no exception. These are real challenges that not only Phoenix Petroleum has had to endure in the last two and half years,” it said.
While recovery is underway, Phoenix said it is not immediate, as it has been set back by the emerging threats of a recession in developed markets fanned by sharply rising prices across the world and prevailing geopolitical risks.