Indian Oil Corporation (IOC) has approved a plan to raise Rs 20,000 crore during fiscal 2021 via private placement of bonds and debentures in one or more tranches.
IOC shareholders have approved fund raising of Rs 165,000 crore at its previous annual general meeting.
IOC will utilize the funds to meet the expansion projects. IOC in September said that it plans to invest Rs 17,825 crore in increasing the capacity of its Gujarat refinery as well as setting up a petrochemical plant at the unit for upscaling the petro chemical business to protect margins.
The public sector oil refiner reported net profit of Rs 6,026 crore during the July-September quarter, nearly 13 times the year ago level, thanks to higher inventory gains and exchange gains during current quarter against inventory losses in the year-ago quarter and higher ‘other income’.
IOC’s revenue from operations for Q2FY21 fell to Rs 116,713 crore from Rs 134,711 crore in Q1FY20 on lower sales during the quarter. Gross refining margin for Q2FY21 increased to $3.46/barrel as against $2.96 per barrel in the same quarter last year.
Indian Oil chairman SM Vaidya said, “IndianOil’s product sales volumes including exports in the second quarter of FY21 was 18.899 million tonne. The refining throughput was 13.969 million tonne and the throughput of the corporation’s countrywide pipelines network was 17.347 million tonne during the same period.”