Sales, however, dip over 13% to Rs 12,663 crore.
Public sector company Oil and Natural Gas Corporation has reported a 5.9 per cent rise in its net profit for the second quarter on the back of improved crude oil realisation and a weaker rupee. Net profit for the quarter ended September 30 was Rs 5,090 crore, compared to Rs 4,808 crore in the corresponding quarter last year.
Net sales, however, dipped over 13 per cent to Rs 12,663 crore. The company has shared Rs 2,630 crore as LPG and kerosene subsidy in the second quarter of the current financial year, as compared to Rs 12,663 crore during the corresponding previous year’s quarter. This subsidy is on account of sales by the public sector oil companies at government-determined prices.
At the Bombay Stock Exchange, the company’s share price today gained 2.56 per cent to close at Rs 1,165.85, even as the Sensex lost 230 points. The company accounts are based on an exchange rate of Rs 48.42 per dollar in the quarter, as against Rs 43.75 in last year's like quarter.
“The numbers are as per our expectations. Our net realisation after paying for fuel subsidies was $56.42 a barrel, as against $46.72 in last year’s corresponding quarter,” chairman R S Sharma told reporters. ONGC has made five new discoveries during the quarter and four more discoveries in October, he said. “With the help of these discoveries, we should be able to arrest the declining oil production from our ageing fields,” Sharma said.
However, he said it is too early to make an assessment of reserves based on just one well. He added the company is targeting to produce 100 million standard cubic metres per day (mscmd) of gas by 2015-16, from the current 62 mscmd.
