Oil and Natural Gas Corp (ONGC) posted a net profit at Rs. 8,265 crores in the July-September quarter of the current fiscal, surging 61 per cent as compared to Rs. 5,131 crores in the same period last year due to the higher prices offset a dip in oil production.
The State-owned company received $73.07 for each barrel of crude oil it produced and sold in the said quarter from $49.43 per barrel realisation a year ago, thus recording a rise of 48 per cent. Due to the depreciation in rupee, ONGC’s realisation surged 61 per cent to Rs. 5,117 per barrel.
ONGC collected $3.05 per million British thermal unit for natural gas as against $2.48 per MMBtu in the corresponding quarter of the previous fiscal. ONGC total revenue during the said quarter stood at Rs. 27,989 crores, increasing by 47.6 per cent.
Oil output declined to 4.9 million tonnes ( 7 per cent down), however the gas production inclined by 3 per cent to 6.1 billion cubic metres. ONGC said that the loss of oil production of about 0.35 million tonnes was due to the non-delivery of the facility, which was supposed to come at the beginning of the fiscal year.
According to the statement released, “ONGC took stringent action to terminate the contract and pro-actively awarded a new contract recently for commissioning of (the facility) by March 2019.”
The company also stated, “The gas production is expected to increase further with the completion of Daman Development Project in Western Offshore and a further increase from the VA-S1 field in Eastern Offshore.”