SHELL PILIPINAS Corp. (SPC) said it expects 2026 capital expenditures (capex) to settle near the lower end of its previously announced P2-billion-to-P3-billion guidance as the corporate manages spending amid continued volatility within the energy market.
At the corporate’s annual stockholders’ meeting on Tuesday, SPC Vice-President for Finance Reynaldo P. Abilo said greater than half of this 12 months’s capex budget has been allocated for trading and provide activities, including upgrades to the corporate’s import terminal and infrastructure network nationwide.
The remaining budget will fund efforts to “refresh our mobility footprint across the country.”
“Almost definitely we will probably be ending on the lower end of the range for 2026 as we attempt to optimize our spending given the volatility and uncertainty within the energy market,” Mr. Abilo said.
Last 12 months, SPC said around P2 billion to P3 billion per 12 months had been earmarked for capital expenditures in 2025 and 2026.
The corporate has yet to release its financial results for the primary quarter of 2026.
For this 12 months, SPC President and Chief Executive Officer Lorelie Q. Osial said the corporate is concentrated on strengthening its business portfolio by expanding non-fuel income streams and prioritizing areas that would generate more predictable returns.
“We fully recognize the volatility in lots of things, whether in oil prices, whether in foreign exchange, whether in global supply and demand, on the geopolitical tensions which are happening. And it will proceed to shape our operating market,” she said.
As tensions within the Middle East proceed to affect global energy markets and fuel price volatility, SPC said it stays focused on ensuring supply security.
“Now we have been actively engaging with various branches in government as we navigate through the present volatility that every one of us are going through,” Ms. Osial said.
SPC, the country’s second-largest player within the downstream oil industry, operates greater than 1,100 service stations nationwide. — Sheldeen Joy Talavera