Philippines: Shell's Hydrogen Project Resumes as Covid-19 Restrictions Eased

Pilipinas Shell Petroleum Corp said on Wednesday it has resumed construction of an integrated hydrogen manufacturing facility at its Tabangao refinery in the Philippines, after being hampered by the coronavirus lockdown.

Restrictions on movement have been eased in Philippine provinces and cities with low coronavirus cases to help restore business activity in the Southeast Asian economy.

The local unit of Shell had planned to complete the project this year in partnership with Air Liquide Philippines Inc.

"We intend to complete the project promptly," a company spokesperson told Reuters. "However, we would need to consider, adopt, and adapt to new labor safety restrictions, and assess the impact these would have on our completion timelines."

The facility, which will be the first of its kind in the country, will enable the 110,000-barrel-per-day Tabangao refinery in Batangas City, south of the capital Manila, to process more crude oil varieties into quality fuels.

Operations at the Tabangao refinery have been suspended indefinitely due to poor domestic fuel demand and refining margins caused by the lockdown.

(Reporting by Enrico dela Cruz; Editing by Emelia Sithole-Matarise)