Reliance Industries Limited (RIL) has increased petroleum coke price with effect from 1st Feb’21 to INR 10,512/t ex-Jamnagar refinery in Gujarat, over its last month’s price of INR 9,432/t — a moderate increase of INR 1,080/t.
Nayara Energy (erstwhile Essar Oil) has also increased pet coke price to INR 10,533/t ex- Vadinar refinery in Gujarat, over its last month’s price of INR 9,452/t — an increase of INR 1,081/t.
Meanwhile, Indian-delivered prices for seaborne petroleum coke have again firmed up recently after slight correction in previous fortnight.
The current average price of US-origin pet coke (6.5% sulphur) is assessed at around US$ 106-107 per tonne (t) on CNF India basis, compared with US$ 100-101/t in the last fortnight. This indicates an increase of US$ 6/t over the past two-week period.
Offers for Saudi-origin pet coke (9% sulphur) are presently assessed at around US$ 101-102/t CNF India, as against the earlier price of around US$ 96-97/t. This indicates an increase of US$ 5/t in last two weeks.
Price Commentaries
RIL’s current price increase comes after a price increase by INR 255/t in the last month of November. In fact, there have been continuous price upticks of pet coke in every month starting from June this year, when the price was INR 5,697/MT, resulting into an increase of INR 3,438/t or 60% in the past 6 months.
The pet coke price of Nayara Energy continues to be in tune with the RIL price and has nominal difference of INR 30/t in the current month as compared to RIL.
However, Indian Oil Corporation Ltd. (IOC), the country’s second-largest petroleum coke producer, has decreased prices from its various refineries with effect from 28th Nov’20.
Notably, this was an unscheduled and unexpected price revision made by IOC before 1st of December. The last price revision of IOC was effective from 6th Nov’20. This price reduction ranges from being moderate to high across different refineries. The lowest reduction is at Panipat by INR 360/t, Koyali by INR 660/t and at both Paradip and Haldia refineries by a high amount of INR 1,460/MT.
It is understood that major reason for such a move was high idle stocks of pet coke particularly at Paradip where the storage is very limited as compared to Koyali and Panipat.
It may be noted that the price of pet coke has firmed in last one month in the international market. Accordingly, market participants were expecting some increase by at least INR 100-200/t in December price.
At Panipat, the abovementioned price for northern states is higher by INR 200/t in this month which was same in the last month.
While the price for rake supplies is lower than road supplies at Koyali by INR 200/t, at Paradip and Haldia rake prices continue to be lower by INR 300/t.
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