A total of 2.43 million metric tonnes (MMT) of crude oil were produced in India in June 2023, compared to the same level of 2.4 MMT reported in the year-ago period, according to Petroleum Planning & Analysis Cell (PPAC). According to data released by the Oil Ministry, out of 2.5 MMT, Oil and Natural Gas Corporation (ONGC) produced 1.6 MMT of crude oil while Oil India Limited (OIL) and private sector producers contributed 0.27 MMT and 0.56 MMT.
Imports of crude oil have increased by 0.6 per cent and decreased by 1.2 per cent during June 2023 and April-May 2023 respectively, compared to the corresponding period of the previous year. The net import bill for oil and gas was $9.5 billion in June 2023 compared to $13 billion in June 2022, according to PPAC.
The data showed that out of this, the crude oil imports constituted $10 billion, liquified natural gas (LNG) imports stood at $1.4 billion and the exports were $3.5 billion during June 2023,.
During June 2023, the Indian basket crude price averaged $74.93 per barrel as against $74.98 per barrel during May 2023 and $116.01 per barrel during June 2022. The price of Brent Crude averaged $74.70/bbl during June 2023 as against $75.55/bbl during May 2023 and $123.70/bbl during June 2022.
The production of petroleum products came in 23.1 MMT during June 2023 which is 4.6 per cent higher than June 2022, where 22.8 MMT was from refinery production and 0.3 MMT was from fractionator.
On the other hand, natural gas consumption (including internal consumption) for June 2023 stood at 5,066 MMSCM (million metric standard cubic meters), which was 1.2 per cent lower than the corresponding month of the previous year, according to the official data.
The cumulative natural gas consumption for the current financial year till June 2023 stood at 15,943 MMSCM, which was higher by 1.2 per cent compared with the corresponding period of the previous year.
In addition, LNG import for June 2023 was 2,221 MMSCM which was 1.6 per cent lower than the corresponding month of the previous year. The cumulative import of 7,590(P) MMSCM for the current financial year till June 2023 was higher by 4.4 per cent compared with the corresponding period of the previous year.
S&P Global Commodity Insights said, “India’s oil products demand fell by 40,000 barrels per day (b/d) on the month in June mainly due to a drop in demand for naphtha and transportation fuels as the month marks the beginning of the monsoon season leading to lower transportation fuel consumption.” It was further added that,‘’Demand for transportation fuels also decreased on the month in June following a high base achieved in May. On a year-on-year basis, demand was up by 187,000 b/d, or four per cent.”
