SEN. Manuel Roxas II yesterday said Malacañang should disclose its plans on its option to buy back the 40 percent stake of Saudi Aramco in Petron. The right of refusal will expire on Monday.

He said government, as represented by the Department of Energy and the Philippine National Oil Co., must consider the heightened uncertainty in the supply and price of oil.

Aramco is selling its 40 percent stake in Petron to the Ashmore Group for $550 million. PNOC owns 40 percent of Petron and the rest is held by small investors.

Aramco acquired the shares during the Ramos administration.

Roxas said the government owes the people an explanation if it does not exercise its refusal option.

"They may have very good reasons not to exercise this option, but to date we don't know what these are. And if these 'good reasons' don't exist, we ought to instead exercise this right so we can place this key asset in friendly hands," he said.

"Friendly hands," Roxas said, are companies that have access to crude oil such as those from Brunei, the United Arab Emirates, Indonesia and other oil-producing countries, or those that have petroleum operations. Friendly hands could also include Filipino firms or those which have a long-term interest in the Philippines, he said.

Roxas said the government should exercise this right and look for a strategic investor. "It does not mean that the government will have to put money out. As reported, officials have admitted that PNOC can assign its first refusal option to another party."

Roxas earlier questioned the expertise of Ashmore to run an oil company, considering that its core business lies in trading hedge funds and other financial assets.