Seaoil to invest P1.2-B to expand network
MANILA, Philippines – Seaoil Philippines Inc. is planning to invest P1.2 billion a year in the next three years to further expand its network in the country, its president and CEO Francis Yu said on Thursday.
“P1.2 billion a year over the next three years is what we plan on investing to continue to expand our network,” Yu told ABS-CBNNews.com.
Yu said the investment aims to increase its number of stations in the country, which currently stands at 340 retail stations nationwide.
He said the independent oil company plans to more than double the number of operating retail stations by 2016.
“We hope to bring our total network to between 700 and 800 stations [in three years],” he said.
In five years, the firm plans to open its 1,000th station.
Yu said 30 more stations are in the pipeline and are expected to open before the end of 2013.
He added that Seaoil, which has 4 percent share of the local petroleum market, also aims to increase market share to 10 percent in the next three years.
Seaoil is also eyeing to upgrade its stations with LED lighting, signage and price board designs, and canopy improvements within the year.
Seaoil announced on Thursday its exclusive partnership with US-based automotive care company Armored Auto Group, owners of the STP brand.
Yu said the tie-up aims to enhance Seaoil’s goal of increasing market share.
“It is important that we have the right partners with us to enhance the value of the brand,” he said.
STP, known for being a longtime partner of NASCAR racing, uses additives to remove and control carbon deposits in a vehicle’s engine.
“We want customers to see Seaoil as one that can challenge other oil players in terms of product quality,” said Yu.
With the tie-up, every grade of Seaoil fuels will have STP additives at no extra cost. This makes Seaoil the first fuel company in Asia to offer fuels with STP additives.
“[The Philippines] is a very important market to us and we are very excited with the business. We think this will bring awareness to both [Seaoil] and [STP],” said Jonathan Paluga, vice president of Armored Auto Group’s strategic marketing and business development.
Yu, meanwhile, said Seaoil is set to announce another global partnership on November 12.