Bonds, better margins seen pushing IndianOil net up in Q2
Mumbai   30-Oct-2007
The country's crude oil basket may have touched a historic high of $84.78 a barrel, but IndianOil is still expected to declare a profit today with the government issuing a letter promising it oil bonds of about Rs 6,360 crore for the first half of this fiscal.The company has also recorded good refining margins at an average of $8.5 a barrel for the half year. "We will be able to show reasonably good results. We will be taking into account bonds for six months in the second quarter results," Sarthak Behuria, chairman, IndianOil had told DNA Money on October 11. Over 50% of the Rs 23,457 crore of oil bonds approved in principle by the government for the year would go to IndianOil , while 22-23% will go to Bharat Petroleum Corporation (BPCL) and the rest to Hindustan Petroleum Corporation (HPCL). The three government-owned fuel retailers are to declare their quarterly results in a row. HPCL was the first to do so, on Monday, posting Rs 853 crore in net profit for Q2, riding on Rs 1,837.92-crore under-recovery sharing by ONGC and GAIL, and Rs 2,355.54-crore in principle approval for oil bonds. For the first half of the fiscal, the company's balance sheet took into account Rs 2,464.84 crore as discounts from the two upstream companies and Rs 2,906 crore from the government bonds. BPCL would be the last to announce results, on Wednesday