ONGC’s profit takes hit

DEHRADUN, September 7, 2016 – India’s Oil and Natural Gas Corporation (ONGC) posted a 21% drop in quarterly revenue and profit on Wednesday, as lower oil prices continue to weigh the company down.

ONGC’s gross revenue over the first quarter of 2016 came out at USD 2.67 billion, down from USD 3.4 billion one year earlier. The company’s net profit was down as well, reaching USD 636 million compared with USD 807 million over the first three months of 2015.

The state-run entity’s hydrocarbons output also suffered, as the production volumes of crude oil, gas and condensates were all lower during the first quarter of 2016 compared with the same period last year. Oil production averaged 415,796 bopd during the first quarter, almost 5,400 barrels less than in 2015. Gas output dropped from 5.48 bcm (193.5 bcf) last year to 5.17 bcm (182.5 bcf) over the first three months of 2016.

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