close
Wednesday October 27, 2021

Oil sales jump 24pc in Q1

October 14, 2021

KARACHI: Sales of petroleum products surged up to 24 percent in the first quarter of the fiscal year 2021-22, owing to increased consumption of furnace oil (FO) to generate electricity.

During the first quarter of FY22, the sale of total petroleum products in the country increased by 24 percent to 5.86 million tons, which was 4.74 million tons in same period of previous year.

Analyst Arsalan Hanif said the recent surge is the highest registered offtake in sales of FO in petroleum sector of the country. “The consumption will increase in coming months as expensive RLNG will not be economically viable to produce electricity,” he added.

Hanif predicted Pakistan would resort to import furnace oil in near future, which was abandoned by the previous ruling government. He said strict control on borders resulting reduced supply of smuggled fuel also contributed in the increase of sales volume.

In September , 2021, company-wise data showed Pakistan State Oil (PSO)’s growth by 42 percent year over year (YoY), SHEL’s by 36 percent YoY, and Attock Petroleum Limited (APL)’s by 22 percent YoY.

However, Hascol witnessed a massive decline of 56 percent YoY due to decline in its sales volumne of MS (-53 percent YoY) and HSD (-59 percent YoY).

During the 1QFY22, PSO managed to expand its market share by 4.0 percent YoY to 51.6 percent as compared to 47.6 percent in 1QFY21. Market share of APL and SHEL remained stable at 9.7 percent and 7.3 percent. However, market share of HASCOL dropped by 3.3 percent.