Shell Not Yet Out of Pandacan

Royal Dutch Shell said it has not yet left the Pandacan Oil Depot in Manila, despite the passing of a deadline set by local government.

The depot, which was the countrys largest conduit for fuel and lubricants, has for years been a subject of complaint from residents and community leaders, who claim that it constitutes a security risk. In 2009, Manilas city council passed an ordinance classifying the property for commercial development, but a subsequent council redesignated it for industrial use. Last November the Supreme Court upheld the former action and decreed that the oil companies operating there vacate the depot by July. Manilas mayor later announced a July 15 deadline.

Shell told Lube Report Asia last week that it still occupies the depot but is working to get out.

Pilipinas Shell Petroleum Corporation is undertaking the removal of its terminal and lube oil blending plant in Pandacan, Manila, said a spokesman who asked not to be identified. Local news organizations recently cited Edgar O. Chua, chairman of the Philippines subsidiary, saying that the company plans to vacate the depot in November and stating that this would meet the Supreme Courts deadline.

The spokesman replying to Lube Report Asia did not give a timeline for the companys exit and declined to comment on the court and councils references to a July deadline.

The depot was also occupied by Petron and Chevron, but both of those companies said they ceased operations and vacated the property before July 15.