Business Standard

Limited refining capacity to keep margins high: Reliance Industries

RIL did point to these recessionary fears at its investor call, saying it remained a challenge for oil companies

Reliance Industries, RIL
Premium

The price of gas from older fields has more than doubled to $6.1 per mmBtu from April 1, while those lying deepsea (such as RIL’s KG-D6) to $9.92 per mmBtu. Photo: Shutterstock

Viveat Susan Pinto Mumbai
The Mukesh Ambani-led Reliance Industries (RIL) expects refining capacity globally to be limited through the calendar year (2022), aiding refining margins. 

In an earnings call after its results on Friday, the RIL management said oil demand would average 99.2 million barrels per day this year. This would be higher by 1.7 million barrels per day versus last year, helping keep refining margins high, even as the overall refining capacity globally remains repressed. 

RIL had benefited from high refining margins in April-June, touching $22-25 per barrel in the first quarter - more than double the average of around $10 a barrel

What you get on BS Premium?

  • Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
  • Pick your 5 favourite companies, get a daily email with all news updates on them.
  • Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
  • Preferential invites to Business Standard events.
  • Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.
VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in