The refining arm of state-owned ONGC, Mangalore Refinery and Petrochemicals Ltd (MRPL), has reported a net loss of Rs 1,521 crore in the April-June quarter following a depreciation in the value of the rupee and a shutdown of its refinery following water supply problems. It posted a net profit of R173 crore in the same period a year ago. Gross turnover at Rs 13,465 crore was lower than Rs 14,522 crore for the same period last year.
“This loss was mainly triggered with sharp reduction in crude and product prices in April and May, steep devaluation of rupee against US dollar by almost 8% and lower throughput due to force majeure arising out of stoppage of water supply for about 10 days by district administration,” said MRPL chairman Sudhir Vasudeva. MRPL processed 2.89 million tonnes of crude oil in the quarter as against 3.30 million tonnes in the same period a year ago.
Meanwhile, agency reports say MRPL does not plan to reduce oil imports from Iran but is facing problems in receiving shipments because of insurance and shipping difficulties caused by European Union sanctions.