Delivered by Usec. Donato D. Marcos
Department of Energy
Inauguration of Pilipinas Shell-North Mindanao Import Facility (NMIF)
Tuesday, 19 July 2016, 10:00 a.m.
Cagayan de Oro City
Let me first extend my warm greetings to the officials and employees of Pilipinas Shell Petroleum Corporation (PSPC), especially to Country Chairman Edgar Chua, members of the energy family, our oil industry stakeholders and partners in Mindanao and in the Visayas, the City Government of Cagayan de Oro, friends, ladies and gentlemen, a pleasant morning to all!
Allow me also to express Energy Secretary Alfonso G. Cusi’s sincerest apologies for being unable to attend the inauguration of this import facility, as he has begun to buckle down to work by ensuring a smooth transition in the department. Thus, it is my distinct pleasure to deliver Secretary Cusi’s message for you.
“The new administration has vowed to accelerate economic and social progress in Mindanao. This is a vital component of President Rodrigo Duterte’s pro-people agenda. And in implementing this agenda, the Department of Energy (DOE) will play a very important role in the next six years.
We have to attract sustainable energy investments in Mindanao region to achieve the objective of inclusive growth under the Duterte administration. It is true that sustained economic growth requires the provision of adequate energy for homes, commerce and industry. Mindanao definitely needs a vibrant and dynamic energy sector to bring about sustained economic growth. And I must congratulate Pilipinas Shell for its full support for the government’s policy thrust under the recently updated Philippine Development Plan to attract more energy investments.
Pilipinas Shell Cagayan de Oro terminal commenced its operations in 1968, or almost 50 years ago. With this new facility today, the North Mindanao Import Facility (NMIF) has evolved into an import terminal for gasoline, diesel and LPG products with a total storage capacity of 688.26 thousand barrels (MB). Previously, only 38.6 MB of various petroleum products could be stored here.
Thus, I commend Pilipinas Shell for this feat of building its largest terminal outside Luzon to serve Mindanao’s 62.46 thousand barrels per calendar day (MBCD) demand and the Visayas’ 49.88 MBCD oil demand.
The total petroleum demand for Mindanao now stands at 16%, while Visayas accounts for 13%. That’s why this investment will not only augment Mindanao’s energy supply, but also provide more employment and livelihood opportunities for the people here.
As I understand it, the total amount of investments by the company for the expansion of the NMIF is approximately US$80 million. This includes ten (10) additional horizontal tanks and three (3) vertical tanks storing gasoline, diesel, CME and ethanol.
We would like also to acknowledge the Philippine Ports Authority (PPA), for providing an area to complete this project. With this bigger facility, there is ample space for receiving medium-range vessels within PPA’s premises with the availability of new cargo lines ensuring safe and efficient receiving and loading operations.
The DOE hopes that Shell will continue to be a leader in energy development in the Philippines. We welcome your efforts to further expand your presence throughout the country, apart from being a vital player in the Malampaya Natural Gas-to-Power Project, the single biggest energy investment in the Philippines.
Over the years, Shell has been a valued partner of government in uplifting the lives of Filipinos. The DOE recognizes your contributions to the development of the energy sector in the country, and we hope that our continuing partnership will benefit not just the energy sector but the entire economy as well.
Again, congratulations and mabuhay po tayong lahat!”
Source: Department of Energy