Page 53 - Plastics News June 2019

BUSINESS NEWS

ONGC reports 31% drop in Q4 IndianOil, BPCL and HPCL

while ONGC videsh reports profit form JV for LPG pipeline project

for 2018-19

tate-owned Oil and Natural Gas Corp (ONGC) Thursday ndian Oil Corporation Limited (IndianOil), Bharat
Sreported a 31 per cent drop in its March quarter net IPetroleum Corporation Limited (BPCL) and Hindustan
profit as it faced a double whammy of a drop in production Petroleum Corporation Limited (HPCL) have signed an
and fall in prices. Net profit in January-March at Rs 4,045 Agreementfor formation of a Joint Venture Company
crore was 31.6 per cent lower than net profit of Rs 5,915 for implementation and subsequent operation of
2757 Km long LPG Pipeline from Kandla, Gujarat to
Gorakhpur, UP. IndianOil, BPCL and HPCL would have
50%, 25% and 25% equity holding in the JV Company.
The proposed pipeline will source product from Kandla
and other LPG import terminals.The Kandla-Gorakhpur
LPG Pipeline, estimated to cost about Rs.10,000 core,
would be implemented by the Joint Venture Company
of IndianOil with 50 per cent share, and BPCL as well
as HPCL with 25 per cent share each. The pipeline will
source LPG from three import terminals on the west
coast and two refineries (at Koyali and Bina) and supply
crore in the same period of the previous fiscal year, LPG to 22 bottling plants of the three OMCs connected
the company said in a statement. While oil production en route - three in Gujarat, six in Madhya Pradesh
dropped 5 per cent to 4.8 million tonne, the price it and 13 in Uttar Pradesh. In addition, the pipeline will
realised for every barrel of crude oil sold was 3.6 per supply LPG to 21 more bottling plants in Rajasthan,
cent lower at $61.93. However,ONGC Videsh Ltd, the Gujarat, Madhya Pradesh, Maharashtra and Uttar
overseas investment arm of state-owned Oil and Natural Pradesh through road-bridging. Once completed, the
Gas Corp (ONGC), Friday reported a 71 per cent jump in
its 2018-19 fiscal year net profit on the back of a spike
in crude oil production.=Consolidated net profit in April
2018 to March 2019 period at Rs 1,682 crore was 71.4 per
cent higher than Rs 981 crore net profit in the previous
financial year, the company said in a statement here. OVL
is the unlisted overseas arm of ONGC and is not obligated
to report quarterly earning numbers. Turnover rose 40.5
per cent to Rs 14,632 crore. This came on back of an 8
per cent surge in crude oil production from assets the
company has in foreign countries. Oil production rose to
10.1 million tonnes in 2018-19 from 9.35 million tonnes single pipeline can transport up to 8.25 million metric
in the previous year. Natural gas output, however, fell 1.6 tonnes of LPG per year, which amounts to about 25%
per cent to 4.73 billion cubic meters. OVL holds a stake in of India's LPG demand.In addition, the pipeline would
41 oil and gas asset in 20 countries spanning from Brazil feed LPG through road-bridging to additional 21 LPG
to New Zealand. The company said production from South bottling plants in Rajasthan, Gujarat, MP, Maharashtra
Sudan's Greater Pioneer Operating Company (GPOC) has and UP. The pipeline is expected to provide reliability
resumed during the year after prolonged shutdown since in the supply chain of LPG. Besides economic benefit
December 2013. Presently, the block is flowing crude oil as compared to Road Transportation, movement of LPG
at about 35,000 barrels per day. by Pipelines shall enhance safety as well.

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55 June 2019 Plastics News