OIL India

The Government of India has accepted several key recommendations made by the Kirit Parikh Committee with respect to the pricing of natural gas produced from the APM fields.

Sustained higher crude oil prices and gas realisations can result in better profitability for upstream oil and gas companies, analysts said

In past one month, Oil India has rallied 23%, while, ONGC surged 11%, as compared to 0.33 per cent decline in the S&P BSE Sensex.

Sustained higher crude oil prices and gas realisations can result in better profitability for upstream companies, say analysts.

And their price and fair valuation targets range between Rs 275 and Rs 290

The reduction of windfall tax will reduce cess of domestic oil production companies like ONGC and Oil India.

In the past six months, Oil India soared 26 per cent, as against 3 per cent rise in the S&P BSE Sensex

State-owned Oil India Ltd (OIL) reported its highest ever quarterly net profit in the third quarter ended December 31 on the back of a rise in oil and natural gas prices. Net profit of Rs 1,746.10 crore, or Rs 16.10 per share, in October-December compared with Rs 1,244.90 crore, or Rs 11.48 a share, in the same period a year back, the company said in a statement. The rise in profitability was helped by higher realisation on crude oil and gas the firm produces and sells. Also, output increased, helping both topline and bottomline. OIL earned USD 88.33 for every barrel of crude oil it produced and sold in the third quarter of the current fiscal, up from USD 78.59 a barrel realisation in the year-ago period. Crude oil is refined at refineries to produce fuels such as petrol and diesel. Prices of natural gas, which is used as fuel to produce electricity, make fertilizers and converted into CNG for use in automobiles, rose to USD 8.57 per million British thermal unit from USD 6.10. Th

De-carbonisation via electric vehicles and hydrogen is among the four verticals in India's strategy for the energy sector, he said

Rajasthan Additional Chief Secretary (Mines and Petroleum) Subodh Agarwal said four companies in the petroleum sector had signed agreements on investment during "Invest Rajasthan"

On Friday, the Union government slashed the windfall tax on domestically produced crude oil and diesel effective December 16, 2022

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The Kirit Parikh Committee, which recommended a floor and ceiling price for natural gas produced from legacy fields of state-owned producers to moderate input price for CNG and fertilizer, has favoured paying ONGC and OIL a premium of 20 per cent over such price for any new gas production they add from old fields. The panel, which submitted its report to the oil ministry last week, has recommended benchmarking price of natural gas produced from ONGC and OIL's legacy or old fields, called APM gas, at 10 per cent of cost of crude oil imported into India, according to a copy of the report seen by PTI. This rate would however be subject to a ceiling or cap price of USD 6.5 per million British thermal unit, until a full deregulation of prices is implemented in 2027. There would also be a floor of USD 4 with a view to cover for cost of production and at the same time keeping cost for fertilizer, power and CNG, which use gas as input raw material, at manageable levels. The basket of crude

CLOSING BELL: The NSE Nifty shut shop at 18,696, down 117 points. Broader indices - BSE Midcap and Smallcap bucked the trend, and were up 0.8 per cent and 0.7 per cent, respectively, on Friday.

The tax on crude oil produced by firms such as state-owned ONGC was reduced to Rs 4,900 per tonne from Rs 10,200 per tonne w.e.f December 02, 2022.

The proposed domestic gas pricing formula by Kirit Parikh panel will likely provide headroom to CGDs to reduce prices and improve margins, but this may hurt producers like ONGC, Oil India, experts say

The committee has also recommended a ceiling price of $6.5 per mmBtu, which may be increased yearly by about $0.5 per mmBtu till 2027, Parikh said

ONGC reported standalone earnings before interest, taxes, depreciation, and amortisation (EBITDA) of Rs 18,810 crore

State-owned Oil India Ltd (OIL) on Thursday reported its highest quarterly net profit of Rs 1,720 crore for July-September despite a newly introduced windfall profit tax taking away some of the gains accruing from a surge in oil prices. Net profit of Rs 1,720.53 crore in the second quarter of current fiscal compared with Rs 504.46 crore net profit a year back, the company said in a statement. Turnover jumped to Rs 6,670.81 crore from Rs 3,678.76 crore in July-September 2021 on the back of higher oil and gas prices. The company, which is the nation's second largest state oil producer, earned an average of USD 100.59 for every barrel of oil it produced and sold in Q2 as compared to USD 71.35 per barrel earnings last year. Oil production was almost unchanged at 0.79 million tonnes while gas output inched up marginally to 0.823 billion cubic metres. The record profit was despite the government levying a new tax from July on domestically-produced crude oil to take away some of the gain

OIL produces heavy oil and natural gas at Tanot Dandewala and Baghewala in the state, and is exploring PML for five more locations in the state.