Oil India reports 6% increase in Q1 crude oil production

New Delhi: State-run Oil India Ltd's crude oil production for the April-June quarter stood at 871,000 tonnes, 6.2% higher on a year-on-year (y-o-y) basis.

Its crude oil production in the corresponding period of the last fiscal was 820,000 tonnes.

Further, the public sector energy company's natural gas production rose nearly 10% to 818 million cubic meters. "Oil India Ltd (OIL), registers phenomenal growth in its crude oil and natural gas production with an increase of 6.22% in crude oil while the natural gas production is up by 9.80% in Q1 FY25 vis-a-vis Q1 FY24," said a company statement.

The increase in production comes at a time when the Centre is looking at increasing India's oil and gas production in a bid to reduce import dependence. India imports about 85% of its energy requirement.

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For the first quarter of FY25, Oil India had reported a consolidated turnover of ₹9,350.89 crore, nearly 45.9% higher than ₹6,408.76 crore in the same quarter of the last fiscal. Its consolidated net profit rose 44% to ₹2,016.30 crore in the quarter ended June from ₹1,399.49 crore in the corresponding quarter of FY24.

In the last financial year, Oil India production 3.35 million metric tonnes (MMT) crude, 5.8% more than FY25. An investor presentation in May had shown that the company contributes 10% of India’s total oil and 8% of gas production with more than 500 wells under production.

The Maharatna company has plans to ensure India’s energy security through its 'Mission 4+' wherein it aims to achieve annual production of 4 million metric tonnes crude and 5 billion cubic metres per annum of natural gas.

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Under its 'Mission 4+' plan, the company aims to venture into new areas under the Open Acreage Licensing Policy (OALP), and pursue oil equity overseas through asset acquisition. It will also focus significantly on production of gas and enhance its portfolio from multiple assets across the country.

Shares of Oil India on BSE closed at ₹643.95 on Friday, 5.1% higher than its previous close.