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Shell: 35 gasoline stations temporarily shut down due to pipeline closure


As the Batangas-Manila fuel pipeline is still shut down, some 35 gasoline stations of Pilipinas Shell Petroleum Corp. had to be temporarily closed down due to the shortage of petroleum products. Even though the company has resorted to transporting fuel via trucks, Shell admitted it is having problems with the delivery because of the heavy traffic in the metropolis, according to a Balitanghali report on Friday. Some 200 trucks are delivering petroleum to more than 180 Shell gasoline stations in Metro Manila on a daily basis, the report said. The report also said that some 10 gasoline stations in southern and northern Luzon have already been shut down. Closure of the pipeline The lack of fuel supply was brought about by the closure of the Batangas-Manila pipeline, determined to be the source of the oil seepage at West Tower Condominium in Makati. The pipeline used to carry fuel products from the Batangas port to the Pandacan oil depot, the storage facility of Shell and Chevron Corp.

Chevron communications manager Toby Nebrida said the problem plaguing Shell and Chevron is "very challenging." "It is very difficult to manage logistical problems. What we are experiencing now is not a question of supply but [of] distribution," he said in an interview. Chevron, which has more than 120 gasoline stations in Metro Manila, is looking for efficient manner to supply its retail network, Nebrida said, referring to the use of trucks and barges in delivering petroleum products. Shutdown unsustainable Bobby Kanapi, Shell spokesperson, pointed out that a continued shutdown of the pipeline is "unsustainable." "We have always maintained that the pipeline is still the safest, most reliable, and efficient mode of transportation for petroleum products," he said. Kanapi said it is extremely urgent and critical for the Lopez-owned pipeline to resume operations to ensure continuity of supply to the market. Kanapi assured early this week that pump prices will not go up as a result of the pipeline shutdown. Shell is willing to absorb the additional logistics cost, he said. "We will not raise prices if it is because of the pipeline. We have always assured the public that we will not raise prices [because of the shutdown]," Kanapi pointed out. Shell said it continues to work closely with the pipeline owner, the Energy Department, and various government agencies to resolve the issue. – VVP, GMANews.TV
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