THE Maharlika Investment Corp. (MIC) on Thursday said it has signed a P15-billion short-term revolving credit facility with Petron Corp. to help boost the country’s fuel supply and crude inventory amid elevated global oil prices.
The financing facility would allow Petron to buy imported crude oil, refined petroleum products, and fund related working capital requirements tied to its fuel operations.
MIC president and CEO Rafael Consing Jr. said rising oil prices have increased the funding requirements of fuel distributors.
“The price of oil has risen to the point where distribution companies must double their working capital just to buy the same amount of fuel,” Consing said. “This facility allows MIC to support fuel supply stability while deploying capital in a sector that is essential to the economy.”
The revolving credit facility would support national development through strategic investments in key sectors while generating risk-adjusted returns, MIC said.
Under the arrangement, MIC will provide financing at prevailing market interest rates, giving Petron additional liquidity support for inventory buildup and fuel importation activities.
