Chennai Petroleum Corporation (CPCL) incurred a loss of Rs.968.89 crore in the quarter ended June 30, 2012, against a loss of Rs.55.12 crore in the corresponding period of last fiscal.

Refining margin

The gross refining margin slipped into the negative territory registering a loss of $2.10 per barrel as compared to $2.98 per barrel in the period under reference.

The GRM was $ 4.46 per barrel in the quarter ended March 31, 2012.The company said the GRM is based on the methodology furnished by the Petroleum Planning & Analysis Cell regarding reporting of quarterly GRMs by refineries. Exchange fluctuation loss and an increase in total expenditure, including a 15 per cent hike in the cost of materials consumed, also contributed to the loss. In the last quarter of 2011-12, CPCL had posted a net profit of Rs.107.19 crore. Income from operations was Rs.11,043.20 crore against Rs.9,897.33 crore, an increase of about 12 per cent. While the crude thruput dropped marginally to 2.518 million tonne against 2.545 million tonne, the total expenditure rose by 20 per cent. The other expenditure, which increased sharply from Rs.119.32 crore to Rs.504.50 crore, includes exchange fluctuation loss of Rs.377.43 crore (Rs.6.13 crore).