Crude oil output rises 7.9% to 2.3 MMT in February

Crude oil imports decreased by 6.6 per cent and increased by 0.4 per cent during February 2024 and April-February 2024 respectively

India produced a total of 2.3 million metric tonnes (MMT) of crude oil in February 2024 – registering a growth of 7.9 per cent compared to the year-ago period, according to Petroleum Planning & Analysis Cell (PPAC).

Out of 2.3 MMT, Oil and Natural Gas Corporation (ONGC) produced 1.4 MMT of crude oil while Oil India Limited (OIL) and and private sector producers contributed 0.3 MMT and 0.6 MMT, data released by the Oil Ministry showed.

Crude oil imports decreased by 6.6 per cent and increased by 0.4 per cent during February 2-24 and April-February 2024 respectively, compared to the corresponding period of the previous year. The net import bill for oil and gas was $9.2 billion in February 2024 compared to $9.6 billion in February 2023, according to PPAC.

Out of this, crude oil imports constitutes $10.2 billion, liquified natural gas (LNG) imports $1.1 billion and the exports were $4.1 billion during February 2024, the data showed.

The Indian basket crude price averaged $81.62 per barrel during February 2024 compared to $79.22 per barrel during January 2024 and $82.68 per barrel during February 2023. The price of Brent Crude averaged $83.93 per barrel during February 2024 compared to $80.32 per barrel during January 2024 and $82.49 per barrel during February 2023.

The production of petroleum products was 22.4 MMT during February 2024 which is 2.6 per cent higher than February 2023. Out of above 22.4 MMT, 22.1 MMT was from refinery production and 0.3 MMT was from fractionator. There was a growth of 3.8 per cent in production of petroleum products in April February FY 2023 – 24 compared to same period of FY 2022 – 23.

On the other hand, natural gas consumption (including internal consumption) for February 2024 stood at 5,332 MMSCM (million metric standard cubic meters), which was 20.4 per cent higher than the corresponding month of the previous year, according to the official data.

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The cumulative natural gas consumption for the current financial year till February 2024 stood at 60,578 MMSCM, which was higher by 11.1 per cent compared with the corresponding period of the previous year.

In addition, LNG import for February 2024 was 2,445 MMSCM which was 33.3 per cent higher than the corresponding month of the previous year. The cumulative import of 29,933(P) MMSCM for the current financial year till February was higher by 17.6 per cent compared with the corresponding period of the previous year.

The gross production of natural gas increased by 11.1 per cent at 2,947 MMSCM in February from last year. The cumulative gross production of natural gas was 33,299 MMSCM for the current financial year till February, higher by 5.7 per cent compared with the corresponding period of the previous year.

India is dependent on imports to meet over 85 per cent of its crude oil requirements and around 50 per cent of its natural gas requirements.

In January 2024, India produced a total of 2.5 MMT of crude oil – registering a growth of 0.7 per cent compared to the year-ago period. The net import bill for oil and gas was $11.7 billion in January 2024, according to PPAC.