Aramco Expands Retail Footprint in the Philippines with Unioil Acquisition

Aramco's Strategic Move into the Philippine Retail Market

In a significant strategic development, Aramco, renowned for being one of the world's leading integrated energy and petrochemical companies, has taken definitive steps to enhance its global retail presence. On February 19, 2025, the company announced its decision to acquire a 25% stake in Unioil Petroleum Philippines. Unioil is recognized as one of the largest oil companies operating in the Philippines, boasting a growing network of fuel retail outlets alongside extensive petroleum wholesale and storage operations.

This acquisition is intended to capitalize on the anticipated growth in the high-value fuel market in the Philippines. The transaction is reportedly subjected to customary closing conditions, including regulatory approvals. The deal not only marks a significant milestone in Aramco's downstream strategic expansion but also allows the company to broaden its retail network globally.

Yasser Mufti, Executive Vice President of Aramco Products and Customers, emphasized the importance of this investment, stating, “This investment represents another step forward in our global strategy to expand Aramco's retail network. We look forward to introducing our high-quality products and services to customers in the Philippines.” Mufti also noted that this expansion aims to capture additional value and enhance their presence in dynamic economies, forging partnerships with established players.

Established in 1966, Unioil has been a major player in the downstream fuel sector, steadily emerging as one of the fastest-growing businesses in retail, wholesale, and storage segments, featuring 165 retail stations and four storage terminals across the Philippines. The announcement of this acquisition follows Aramco's previous retail ventures in regions like Chile and Pakistan, illustrating a consistent growth trajectory in its international operations.

Upon completion of this acquisition, Aramco plans to introduce its brand along with competitive retail offerings and Valvoline lubricants at select retail outlets in the Philippines. This marks an ambitious step for the company to ensure its products reach a broader audience in response to the burgeoning demand for fuel in a rapidly growing economy.

With this development, Aramco reinforces its commitment to not only increasing its market share but also improving the overall quality of its offerings in emerging markets. As they embark on this new chapter with Unioil, both companies anticipate a collaborative effort to meet the evolving needs of their customers in the fast-paced retail environment of the Philippines.

Conclusion

As Aramco continues to diversify its operations and expand its international footprint, this strategic acquisition in the Philippines signals a proactive approach towards sustaining its growth amidst the evolving energy landscape. The partnership with Unioil is expected to foster not only business growth for Aramco but also contribute to the overall enhancement of the competitive fueling landscape in the Philippines.