Reliance Industries Limited (RIL) has revised its petroleum coke price ex-Jamnagar refinery to INR 6,175/MT with effect from 1st Nov’19, which’s a reduction of INR 725/MT as compared to the previous price of INR 6,900/MT.
Notably, the company had maintained its pet coke price at INR 6,900/MT for the last three months, since 1st Aug’19.
Nayara Energy, erstwhile Essar Oil, has also reduced its price by INR 725/MT to INR 6,165/MT, from its earlier price of INR 6,890/MT, which was unchanged since Aug’19.
Price Commentaries
RIL had consecutively reduced its pet coke price from March till August. After maintaining the price for three months, the company again reduced its price by INR 725/MT. Thus, the total price reduction is INR 2,975/MT from a level of INR 9,150/MT as of Mar’19.
RIL’s price reduction is majorly attributable to a continued drop in pet coke prices in the international market — in line with the ongoing drawdown in global coal prices.
This price reduction may well be likely to boost end-user demand in the coming months, given that Indian seaborne demand for pet coke was projected to pick up after the monsoon season.
Further, the country’s cement demand is anticipated to gain strength from the month of November owing to the commissioning of various infrastructural projects. Accordingly, domestic prices of pet coke will possibly firm up.
Nayara Energy typically follows the RIL pet coke price, while generally maintaining a price difference of INR 10/MT.
Indian Oil Corporation Ltd (IOC), India’s second-largest pet coke producer, is yet to revise its prices from various refineries.
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