Business

Oil India reports record profit on oil price surge

State-owned Oil India Ltd. on Friday reported its highest-ever quarterly net profit in the three months to March as it got almost $100 per barrel price for oil produced and sold.

Net profit at ₹1,630.01 crore in January-March was almost double the ₹847.56-crore profit a year earlier, OIL Director (Finance) Harish Madhav told reporters here.

This is because the firm got $98.08 for every barrel of crude oil produced and sold in the fourth quarter of fiscal 2022, compared with $59.80 a barrel realisation a year earlier.

For the full year FY22 as well, the firm reported its highest-ever profit of ₹3,887.31 crore, up from ₹1,741.59 crore in the previous financial year.

Turnover rose 27% in Q4 to ₹4,972.91 crore and by 55% in FY22 to ₹16,427.65 crore.

"This is the highest-ever quarterly and annual net profit as well as highest-ever quarterly and annual turnover," he said.

The nation's second-biggest state oil and gas explorer got $2.35 per million British thermal unit gas price in FY22, as against $2.09 per mmBtu in the previous year.

He said the company achieved the highest-ever natural gas production of 3.04 billion cubic metres in FY22, an increase of 15.3% over last year’s output. Natural gas production in Q4 of FY22 was also higher by 13.1% over the corresponding period last year.

Crude oil production increased 1.6% to 3.01 million tonnes during FY22. In Q4, oil output rose 4.2% year-on-year.

The firm made two new hydrocarbon discoveries in the year in the Tinsukia district of Assam.

The board recommended a final dividend of ₹5 per share for FY22. It had earlier paid an interim dividend of ₹9.25 a share for the same fiscal.

OIL Chairman and Managing Director S.C. Mishra said the firm had become the first company in the country to commission a pilot plant of 100 KW capacity for the production of green hydrogen in Assam.

The plant is based on Anion Exchange Membrane technology for the production of green hydrogen of 99.99% purity.

OIL has also entered into collaboration with start-ups for the development of green hydrogen utilities.


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Printable version | May 27, 2022 9:48:52 pm | https://www.thehindu.com/business/oil-india-reports-record-profit-on-oil-price-surge/article65468127.ece