India’s crude oil production falls 2.3 pc in August, gas output rises

By: |
September 22, 2021 5:58 PM

Production of natural gas, which is used to fire power plants, run fertilizer units and convert into CNG to automobiles, rose 20.23 per cent to 2.9 billion cubic metres in August.

Crude oil production dropped to 2.51 million tonnes in August as output from fields operated by state-owned Oil and Natural Gas Corp (ONGC) dipped.Crude oil production dropped to 2.51 million tonnes in August as output from fields operated by state-owned Oil and Natural Gas Corp (ONGC) dipped.

India’s crude oil production fell 2.3 per cent in August but natural gas output rose by more than a fifth on the back of output from KG-D6 fields of Reliance-BP, government data released on Wednesday showed.

Crude oil production dropped to 2.51 million tonnes in August as output from fields operated by state-owned Oil and Natural Gas Corp (ONGC) dipped.

India is 85 per cent dependent on imports to meet its oil needs and the government has been for long looking at ways to raise the domestic output so as to reduce import dependence.

Crude oil is converted into fuels such as petrol and diesel in refineries.

Production of natural gas, which is used to fire power plants, run fertilizer units and convert into CNG to automobiles, rose 20.23 per cent to 2.9 billion cubic metres in August.

This is because the output from fields operated by private firms jumped 186 per cent.

Without giving a break-up, the notes to the data said, “Increase in gas production… is due to production from new fields D-34 and Satellite Cluster of KG-DWN-98/3 (KG-D6) where production commenced in December 2020 and April 2021 respectively.” Reliance Industries and its partner BP Plc of UK operate the KG-D6 fields.

ONGC, the nation’s largest oil and gas producer, produced 4 per cent less crude oil at 1.6 million tonnes and 9 per cent less gas at 1.7 bcm.

As fuel demand rebounded, oil refineries processed more crude oil in August. At 18.4 million tonnes, crude processing in August was 14.17 per cent higher than the year-ago period.
The crude thruput has been on the rise in the last few months as the easing of coronavirus restrictions boosted economic activity and fed demand for fuel.

Public sector refineries processed 13.6 per cent more crude at nearly 10 million tonnes while private refiner Reliance Industries turned 16.4 per cent more crude into fuel.

Refineries produced 9 per cent more petroleum products in August at 19.5 million tonnes and 12 per cent more in April-August at 100.2 million tonnes.

Overall, the refineries operated at 87 per cent of their installed capacity as against 76.1 per cent capacity utilisation in August 2020.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Gold Price Today, 19 Oct 2021: MCX gold to trade in Rs 47100-47500 range; Nov-Dec bullish for yellow metal
2Petrol and diesel price October 19: Rates constant at all-time highs; Check price in Delhi, Mumbai here
3India to request oil exporters to raise output for price relief