Formosa Petrochemical to hike fuel prices next week

Taipei, Formosa Petrochemical Corp., a private fuel supplier in Taiwan, said Saturday that its gasoline and diesel prices will be increased next week due to higher crude oil prices.

With effect from 1 a.m. Monday, Formosa Petrochemical said, it will raise its gasoline prices by NT$0.2 per liter and its diesel prices by NT$0.3 per liter.

With those adjustments, prices at Formosa Petrochemical gas stations islandwide will rise to NT$24.4 per liter for super diesel, NT$26.8 per liter for 92 octane unleaded, NT$28.2 per liter for 95 unleaded, and NT$30.3 per liter for 98 unleaded, the company said.

On Thursday, West Texas Intermediate for May delivery rose in New York to US$64.94 a barrel as energy traders embraced high hopes that the Organization of Petroleum Exporting Countries will extend its production agreement from the end of 2018 to at least the middle of 2019.

In addition, continued concerns over geopolitical politics involving Saudi Arabia and Iran also raised fears of a disruption in global oil supply, which pushed up crude prices, analysts said.

Under such circumstances, Formosa Petrochemical's main competitor, state-run CPC Corp. Taiwan, is likely to announce similar price adjustments at noon Sunday to take effect 12 hours later.

CPC calculates its weekly fuel prices based on a weighted oil price formula made up of 70 percent Dubai crude and 30 percent Brent crude.

Based on the latest fluctuations in international crude oil prices, CPC's average price for crude oil was calculated at US$66.35 per barrel as of Thursday, up US$1.33 from a week earlier, according to its website.

Source: Focus Taiwan News Channel