Philippine-based oil refiner and marketer Petron Corp. plans to raise up to PHP 40 billion (USD 851.4 million) through the sale of fixed-rate peso-denominated retail bonds.

In a disclosure to the Philippine Stock Exchange, Petron Corp. said its board of directors approved the “public offer and issuance of up to PHP 40 billion worth of peso-denominated fixed-rate retail bonds via a shelf registration for a period of three years.”

The company said the initial offering would be up to PHP 20 billion (USD 425.7 million) worth of retail bonds.

Petron Corp. reported a hefty increase in consolidated net income during the first half of 2016, from PHP 3.4 billion (USD 72.3 million) to PHP 5.28 billion (USD 112.3 million).  Petron Corp. said “a surge in sales volumes supported by its aggressive network expansion, improved production and cost efficiencies, and a deeper focus on customer programs,” boosted net income by 55% in the first half. Consolidated sales volumes in the Philippines and Malaysia rose 9%, from 47.4 million barrels in the first half of 2015 to 51.8 million barrels during the same period in 2016. Because of lower crude oil prices, consolidated sales revenue rose by 13% to PHP 161.9 billion (USD 3.4 billion) in the first half of 2016.

“Petron continues to deliver strong results amid the prolonged slump in oil prices. This is a direct effect of much improved operational productivity and the expansion of our markets,” said Petron President and CEO Ramon S. Ang.