Pet Coke: IOCL Reduces Price in line with RIL

Indian Oil Corporation Ltd. (NSE: IOC), the country’s second-largest producer of petroleum coke, has revised its pet coke prices from various refineries, with effect from 8 Aug’19.

IOC has revised pet coke price ex-Koyali refinery to INR 6,410/MT, a decrease of INR 220/MT from INR 6,630/MT. Price for rake loading has been also reduced by INR 220/MT to INR 6,210/MT from INR 6,430/MT.

Panipat refinery’s general price is revised to INR 7,570/MT from INR 7,550/MT, an increase of INR 20/MT. Price for Punjab, Haryana, Jammu and Kashmir, Chandigarh is revised to INR 8,330/MT from INR 8,250/MT, an increase of INR 80/MT.

Paradip refinery’s price for road supplies is revised to INR 6,080/MT from INR 6,400/MT, a decrease of INR 320/MT. The price for rake supply is revised to INR 5,780/MT from INR 6,100/MT, also a decrease of INR 320/MT.

Price Commentaries

State-run IndianOil has revised its prices by decreasing at Koyali and Paradip refineries whereas by increasing at Panipat refinery. Thus, the price revision ranges from (-) INR 320/MT to (+) INR 80/MT as compared to price reduction of (-) INR 200/MT by Reliance Industries (RIL) w.e.f. 1 Aug’19.

While the price revision at Koyali and Paradip has decreased in line of trend set by major player RIL, there has been increase in price at Panipat.

This contrasting change in price at Panipat is probably due to low availability as compared to demand. Notably, the price difference for northern states is again changed to INR 760/MT which was INR 700/MT in the last revision.

At Panipat, the difference in pet coke price for Punjab, Haryana, Jammu and Kashmir, Chandigarh remains higher by INR 760/MT, as compared to the general price for other states.

At Paradip, IOC has been declaring rake price separately, after commissioning of rake facility on 29 Nov’18. The price for rake supply is lower by INR 300/MT than the price applicable for road supplies.