OVL net jumps more than 9-folds in H1 FY19

ONGC Videsh Ltd, the overseas investment arm of Oil and Natural Gas Corp (ONGC), Wednesday reported more than nine-folds jump in net profit in the first half of current 2018-19 financial year on the back of higher output and prices.

Consolidated net profit in April-September at Rs 1,384 crore was 878 per cent more than Rs 142 crore net profit in the same period of the previous fiscal, the company said in a statement here.

OVL is not listed on bourses and so is not obliged to give out quarterly earning numbers.

The company had a consolidated net profit of Rs 981 crore in the entire 2017-18 fiscal (April 2017 to March 2018).

Crude oil production was 2.6 per cent higher at 4.9 million tonnes but natural gas output dipped marginally at 2.1 billion cubic meters.

The output was higher "mainly due to increased production from the Sakhalin-1 project in Russia and addition of production of Lower Zakum Concession in UAE which was acquired in March 2018," it said.

The profit was higher "mainly due to higher production, higher prices and exchange variation," it said without giving details.

OVL, which has 41 projects in 20 countries, said production from Greater Pioneer Operating Company (GPOC), South Sudan resumed after prolonged shutdown since December 2013.

First crude oil from Toma South field of South Sudan was pumped in late August. "Presently the field is flowing crude oil at about 15,000 barrels per day," the statement said.

Also, the first equity cargo of Das Blend crude produced from Lower Zakum Concession, UEA arrived at New Mangalore on June 8.

"This equity crude of OVL was refined at Mangalore Refinery and Petrochemicals Ltd (MRPL), and is another step in ensuring India's energy security needs," it said. "Total Das Blend equity oil purchased by MRPL from June to October is 2.38 million barrels."