The Philippines is exploring the possibility of importing oil from Russia amid a global price surge triggered by the conflict between the United States and Israel with Iran. The government, through the Philippine National Oil Company (PNOC), has reached out to Russian oil firms, though details regarding supply volume or duration have yet to be discussed. The country is currently awaiting a response from Moscow.
Rising fuel prices are prompting the Philippines to seek alternative sources beyond the Middle East. Currently, about 98 percent of the nation’s crude oil needs are met by the region, which is now at the center of aerial conflicts and drone attacks involving Israel, the U.S., and Iran.
For now, the Philippines still has sufficient fuel stocks to last until April, easing short-term concerns over potential shortages.
Regional Scrambles for Russian Oil
The Philippines is not alone in this approach. Asian countries, including China, India, Thailand, Japan, and Singapore, are also considering or have begun negotiations to purchase Russian oil to mitigate potential supply disruptions from the Middle East.
This process has been further encouraged by a temporary U.S. decision allowing the shipment of Russian oil and petroleum products already on ships from March 12 to April 11, intended to stabilize global prices.
Thailand, with roughly three months of crude reserves, has suspended fuel exports to secure domestic supply. Japan, despite holding strategic reserves for 254 days, is still considering purchasing Russian oil following the temporary U.S. approval.
Meanwhile, Sri Lanka has begun discussions with the Russian ambassador on accelerating imports of Russian oil.
Philippines Responds to Oil Pressures
The Philippines, with only one refinery capable of processing crude oil—Petron in Limay, Bataan—recognizes the importance of diversifying its supply sources.
Beyond Russia, the government is negotiating potential purchases from Japan, Singapore, and South Korea. To ease price pressures, the House of Representatives approved a temporary measure allowing President Marcos to suspend the biofuel blending mandate.
The Middle East conflict has pushed diesel prices close to ₱100 per liter, prompting adjustments to fuel tariffs for consumers. Despite this, Energy Secretary Sharon Garin has assured that the government can maintain sufficient supply until April.
Availability of Russian Oil in Asian Waters
In addition to negotiating direct supply with Russia, the Philippines and other Asian countries are now monitoring Russian tankers in regional waters. Around 30 vessels are carrying crude oil and refined products that could enter the market after the United States granted a temporary waiver for cargoes already at sea before March 12.
These ships are transporting at least 19 million barrels of crude and 310,000 tons of products such as diesel and naphtha.
The vessels currently have no fixed destinations; some are expected to head to Singapore or Malaysia for distribution.
The U.S. waiver is valid for 30 days and has already been utilized by Indian refineries to purchase Russian oil previously under sanctions.
For the Philippines, these shipments represent a potential option to adjust supply if Middle East deliveries are increasingly disrupted by conflicts in the Strait of Hormuz.
