Indian Oil Corporation (IOC) would not like the petrol price to be changed frequently unless there are major fluctuations in crude prices, according to its Chairman B.M. Bansal.
Noting that the crude price was around $74 a barrel when the fuel prices were revised last, he said: “It is a touch and go situation” now with regard to the under-recovery on petrol price. Mr. Bansal was interacting with mediapersons after the Annual General Meeting (AGM) of Chennai Petroleum Corporation Ltd (CPCL), a group company of IOC, here on Monday.
To a query on the under-recoveries on automobile fuels, he said petrol price has been totally deregulated and the under-recovery on diesel was around Rs.3.50 a litre.
On the proposed LNG terminal of IOC, in association with the Tamil Nadu government, in Ennore near Chennai, he said the detailed feasibility report would be ready by next month. The oil company would start work on the financial aspects by December.
Mr. Bansal said the IOC was open to tying up with a strategic investor who can bring LNG.
At the AGM, he said the CPCL was implementing various projects including a Rs.2,616 crore auto fuel quality upgradation project and a new 42-inch crude oil pipeline from Chennai port to Manali refinery at a cost of Rs.65 crore.
