Oil India posts Q1 loss at Rs 249 cr due to slump in oil prices

Oil India Ltd on Saturday reported a net loss of Rs 249 crore in the first quarter of current fiscal year as compared to a net profit of Rs 625 crore in Q1 FY20.

The loss was largely due to price realised for oil the company produced dropped to 30.43 dollars per barrel in Q1 FY21 as compared to 66.33 dollars a barrel in the same period of previous fiscal.

"The global spread of Covid-19 and collapse in understanding between OPEC and Russia on continued production cuts led a sharp fall in international crude oil prices," Oil India said in a statement.

The company produced 0.75 million tonnes of crude oil during April to June, down marginally from 0.81 million tonnes a year ago. Natural gas output too was marginally lower at 0.68 billion cubic metres (bcm) from 0.71 bcm in Q1 FY20.

As a result, total income in Q1 FY21 slipped to Rs 1,874 crore from Rs 3,496 crore in Q1 FY20.

( With inputs from ANI )