October 24, 2014
YPF director: fuel prices will continue to rise
Goal is to increase profit; state-owned oil company will join other firms, says Héctor Valle
Fuel prices will continue to increase “with the objective of reaching domestic supply,” Héctor Valle, board member of state-owned oil company YPF, said yesterday, one day after Shell oil company decided to increase its fuel prices nationwide an average 6.1 percent.
“Fuel prices are partially based on Shell’s attitude, which is the company that increases most the prices. All companies rely on increasing prices of their fuels, especially gas, to secure profit,” Valle said. “The president decided to maintain YPF’s project through increments on fuel prices.”
On February, Economy Minister Axel Kicillof announced an agreement with petroleum companies to raise fuel prices no higher than 6 percent. After the announcement, YPF increased its prices an average six percent and so did other companies like Shell and Petrobras.
“The agreement with Repsol has led to a much clear scenario. Not only because we have solved the confrontation with Repsol but also because 20 lawsuits previously initiated by the company have come to an end,” Valle said.
Valle’s statements come after Shell’s decision to raise fuel prices since Saturday night an average 6.1 percent. The Anglo-Dutch multinational company had increased its prices 12 percent two weeks ago but reached an agreement with Kicillof to only raise six percent and later on make other increments.
“Based on the negotiations that were carried out in the Economy Ministry between oil refining and producing companies, we have decided to increase fuel prices nationwide an average 6.1 percent,” Shell said in a press release.
In Buenos Aires City, “Shell V-Power Nitro +” went from 11.23 pesos to 11.98 pesos, “Fórmula Shell Súper” went from 9.92 pesos to 10.53 pesos, “Shell V-Power Nitro+ Diesel” went from 10.57 pesos to 11.28 pesos and “Shell Fórmula Diesel” went from 8.82 pesos to 9.34 pesos.
Fuel sales rise 2.5 percent
Fuel sales in gas stations nationwide rose 2.5 percent in January compared to the same month last year, the website Surtidores.com.ar reported yesterday based on data of the Energy Secretariat. 35.6 million litres of fuel more were sold compared to January 2012 and premium fuels were the most sold. Petrobras experienced the highest increased on sales (16.6 percent), followed by AXION energy (4.8 percent), YPF (2.3 percent) and Shell (2.6 percent). More than 50 percent of the drivers decided to buy fuel at YPF, followed by Shell (16.43 percent), AXION (12.4 percent) and Petrobras (6.7 percent).
—Herald with DyN, Télam