Crude oil imports in India slightly increased during June

India produced a total of 2.43 million metric tonnes (MMT) of crude oil 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). 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, data released by the Oil Ministry showed.

Crude oil imports 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.

Out of this, the crude oil imports constitutes $10 billion, liquified natural gas (LNG) imports stood at $1.4 billion and the exports were $3.5 billion during June 2023, the data showed.

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.

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 May, India produced a total of 2.5 MMT of crude oil, compared to 2.6 MMT in the year-ago period, according to PPAC data. Out of 2.5 MMT, ONGC produced 1.6 MMT of crude oil while Oil India Limited (OIL) and private sector producers contributed 0.3 MMT and 0.5 MMT.