Chevron Corp. has completed a ₱170 million upgrade to its terminal in Lapu-Lapu City, Cebu, enabling the facility to handle international import vessels and bolstering the energy major’s logistics network in the central Philippines.

In a statement, Chevron said the investment, valued at approximately $3.1 million, increased the terminal’s storage capacity to 150,000 barrels, or roughly 24 million liters.

Chevron estimated the expansion will unlock approximately ₱55 million in annual value by streamlining the supply chain and allowing for direct shipments from overseas refineries.

The facility recently marked a formal operational milestone with the arrival of the MT Chang Hang Fei Yue, its first import vessel. The tanker, arriving from South Korea, offloaded fuel products following coordination between Chevron’s local operations team and Philippine government regulators.

Earlier, the terminal’s reach was more constrained; the new capabilities allow it to function as a primary entry point for international fuel trade rather than a secondary distribution node.

Strategically positioned in one of the Philippines' most rapidly urbanizing corridors, the Lapu-Lapu terminal acts as a primary gateway for the Central Visayas region.

Demand in the area is increasingly driven by a rebound in tourism, a robust manufacturing sector, and expanding transportation requirements in nearby Cebu City and Mandaue. Chevron executives noted that the enhanced reliability of the supply chain is expected to attract new retail franchisees and commercial partners to the Caltex brand.

The Cebu expansion follows a broader infrastructure strategy initiated last year. Chevron Philippines Inc. (CPI) recently secured long-term stability for its footprint by signing renewed lease agreements with Batangas Land Co. Inc.

These agreements cover critical land holdings in San Pascual, Batangas; San Fernando, La Union; and Sasa, Davao City. Alongside these renewals, the company has committed to capital expenditures across its terminal network to modernize energy infrastructure and maintain safety standards.

“Our investment in the Lapu-Lapu terminal is a sign that Chevron is here to stay and will continue to boost the capacity of our other local terminals,” said Pongtorn Tangmanuswong, CPI General Manager and Country Chairman.

He added that the company’s broader mission focuses on ensuring reliable energy access across the archipelago as industrial activity accelerates.

Chevron, which has operated in the Philippines for more than a century, currently maintains a network of more than 600 service stations and multiple supply points. The company continues to position its Caltex-branded fuels and lubricants as a premium offering in a competitive retail market, banking on infrastructure upgrades to lower landed costs and ensure consistent product availability for Filipino consumers.