Petron Corp., the only remaining oil refinery in the country, is once again open to a government takeover, potentially through a partnership with the state-run Maharlika Investment Corp. (MIC).

The move comes as the Ramon Ang-led company seeks to address volatile fuel costs, though economists warned that state intervention offers no guarantee of lower prices at the pump.

While a full buyout remains on the table, MIC Chief Executive Officer Rafael Jose Consing Jr. is pivoting toward a co-investment model rather than full ownership, according to a report by InsiderPH.

Consing clarified that the sovereign wealth fund’s interest lies in "physical hedging" to secure the nation’s energy supply.

“We can focus on targeted, asset-level investments in critical midstream infrastructure—such as national fuel storage networks,” Consing said in a Viber message. The goal, he added, is to insulate the domestic market from Middle East supply disruptions and long-term inflationary pressures.

Despite the strategic appeal, analysts remain wary of the fiscal risks. Ser Peña-Reyes, director at the Ateneo Center for Economic Research and Development, noted that re-nationalizing Petron could “introduce new risks” and strain public coffers if used to artificially depress prices.

“It won’t magically stabilize fuel prices under the current system,” Peña-Reyes told Manila Bulletin, adding that the move must be paired with broader regulatory reforms to be effective.

Juan Paolo Colet, managing director at Chinabank Capital Corp., argued that Petron is more efficient as a publicly listed entity.

“Any concern about fuel pricing or supply management can be addressed through other means, such as moral suasion or regulation,” Colet said.

The discussions unfold as domestic fuel prices averaged more than ₱100 per liter. To bolster supply, Petron recently secured 700,000 barrels of Russian ESPO crude. The shipment is currently pending a 30-day waiver from the US government to bypass standing sanctions.