Pet coke: IndianOil sharply increases prices across refineries

Indian Oil Corporation Ltd. (IOC), the country’s second-largest petroleum coke producer, has increased prices from its various refineries with effect from 4th Mar’21.

• IOC has revised pet coke price at Koyali refinery for road supplies to INR 10,880/t over its last month’s price of INR 10,110/t — an increase of INR 770/t.

• Price for rake loading has been also increased by INR 770/t to INR 10,680/t from INR 9,910/t in the last month.

• Pet coke price at Panipat refinery for general states has been revised to INR 11,790/t over its last month’s price of INR 11,030/t — an increase of INR 760/t.

• Pet coke price for Punjab, Haryana, Jammu and Kashmir and Chandigarh has been revised to INR 11,890/t from INR 11,130/t — an increase of INR 760/t over last month’s price.

• Pet coke price at Paradip refinery for road supplies has been revised to INR 9,980/t over its last month’s price of INR 9,110/t — an increase of INR 870/t.

• Price for rake supply has been revised to INR 9,780/t from INR 8,810/t — an increase of INR 970/t over last month’s price.

• Pet coke price ex-Haldia refinery for road supplies has been revised to INR 10,150/t over its last month’s price of INR 9,280/t — an increase of INR 870/t.

• The price applicable for rake supplies has been also increased by INR 970/t to INR 9,950/t from INR 8,980/t in the last month.

Price Commentaries

Last month, there was an unscheduled and unexpected price revision made by IOC before 1st of February, while the previous price revision of IOC was effective from 6th Jan’21. The last price reduction ranged from being moderate to high across different refineries. The lowest reduction was 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/t.

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 two months in the international market. Accordingly, market participants were expecting some increase by at least INR 100-200/t in the January month’s pricing.

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.