ONGC declares results for FY’20; posts net profit of Rs. 13,445 crore for FY’20

ONGC declares results for FY’20; posts net profit of Rs. 13,445 crore for FY’20

 

Highlights:

• Gross Revenue of Rs. 96,214 crore in FY’20
• 12 discoveries in FY’20; 03 discoveries so far in FY’21

 

In its 329^th Board Meeting held on 30^th June, 2020, ONGC presented the annual results for FY’20.

 

1. Financial Performance

Particulars	Q4FY’20	Q4FY’19*	% Var	FY’20	FY’19*	% Var
Gross Revenue (Rs. Crore)	21,456	26,759	(19.8)	96,214	1,09,655	(12.3)
Profit/(loss) Before Tax (PBT) (Rs. Crore)	(3,892)	5,762	(167.5)	20,369	40,029	(49.1)
Profit/(loss) After Tax (PAT) (Rs. Crore)	(3,098)	4,240	(173.1)	13,445	26,765	(49.8)
Crude Oil Price-Nominated
Net Realization (US$/bbl)	49.01	61.93	(20.9)	58.61	68.19	(14.0)
Net Realization (Rs./bbl)	3,546	4,365	(18.8)	4,154	4,766	(12.8)
Crude Oil Price-JV
Realization (US$/bbl)	49.39	61.29	(19.4)	59.33	65.97	(10.1)
Realization (Rs./bbl)	3,574	4,320	(17.3)	4,205	4,611	(8.8)
Gas Price
Price on GCV basis ($/mmbtu)	3.23	3.36	(3.9)	3.46	3.21	7.8

_*restated

The Company has recognized an Exceptional Item towards impairment loss of Rs. 4,899 crore in Q4 FY’20 to factor into estimated future crude oil and natural gas prices. This has adversely impacted PAT for Q4 FY’20 and FY’20 as compared to last year.

 

 

 

 

1. Production Performance

Particulars	Q4FY’20	Q4FY’19	% Var	FY’20	FY’19	% Var
Crude Oil–ONGC (MMT)	4.935	4.790	3.0	19.330	19.626	(1.5)
Crude Oil–JVs (MMT)	0.555	0.749	(25.9)	2.639	3.120	(15.4)
Condensate (MMT)	0.329	0.361	(8.9)	1.384	1.485	(6.8)
Total Crude Oil (MMT)	5.819	5.900	(1.4)	23.353	24.231	(3.6)
Gas – ONGC (BCM)	5.862	6.275	(6.6)	23.853	24.747	(3.6)
Gas – JVs (BCM)	0.178	0.282	(36.9)	1.043	1.063	(1.9)
Total Gas (BCM)	6.040	6.558	(7.9)	24.896	25.810	(3.5)
Value Added Products (KT)	879	931	(5.6)	3548	3641	(2.6)

 

 

1. Exploration Performance:

ONGC has declared total 12 discoveries (7 onland, 5 offshore) during FY 2019-20 in its operated nomination acreages. Out of these, 7 are prospects (3 onland, 4 offshore) and 5 are pools (4 onland, 1 offshore).

 

1. Total 12 discoveries made in FY’20. Following 2 discoveries have been notified in Q4, FY’20:

i. R-12-6, Ratna and R-series ML, Western Offshore Basin

Well R-12-6  flowed oil @ 364 bbl/day, 334 bbl/day and 158 bbl/day and gas @ 8996 m³/day, 6127 m³/day and 3104 m³/day, respectively from three intervals. This discovery has established the hydrocarbon potential of a new sector in Ratna area.

 

ii. SD-15 in West Tripura PML,A&AFB

Well SD-15  flowed gas @ 1, 17, 651 m³/day and 3,24,001 m³/day respectively from two intervals. This success enriches the possibilities of encountering more gas bearing sands in Upper Bhuban formation in Sundalbari structure.

 

 

 

 

 

 

 

 

b.  Discoveries notified during FY 2020-21:

During FY 20-21, ONGC has notified 3 discoveries so far (two in offshore deep-water NELP block and another in on-land block in Nomination PML)

i. Well KGD982NA-CHAN-B-1in Cluster II of KG-DWN-98/2 deep water block , KG Basin flowed gas from two intervals @5,69,330 m³/day and 5,25,152 m³/day respectively.

 

ii. Well KU#13 drilled in Kunjanban PML, Tripura flowed gas @1,56,000 m³/day along with condensate @ 0.23 m³/day.

 

iii. Well KGD982NA-R1-E#1 in Cluster II of KG-DWN-98/2 deep water block, KG Basin flowed gas @ 4,64,141 m³/day

 

1. Reserve Accretion (2P): FY’20

(in MMTOE)
ONGC operated domestic areas	53.21
Domestic JVs	1.74
Total Domestic	54.95

 

1. Reserve Replacement Ratio (RRR) of ONGC-Operated Domestic Areas

In FY’20, ONGC has maintained an RRR of more than ‘One’ for the 14^th consecutive year. This reflects ONGC’s strong exploratory performance over the years.

1. Consolidated Financial Results

1.	Consolidated Turnover Rs.4,25,001 Crore in FY’20 as against Rs. 4,53,683 Crore in FY’19
2.	Consolidated Group Net Profit (PAT) Rs. 11,560 Crore in FY’20 as against Rs. 33,938 Crore in FY’19

 

1. ONGC Group of Companies

1.	Oil and Natural Gas Corporation Ltd
2.	Subsidiaries:
i	ONGC Videsh Ltd
ii	Hindustan Petroleum Corporation Ltd
iii	Mangalore Refinery and Petrochemicals Ltd
iv	ONGC Mangalore Petrochemicals Ltd
v	Petronet MHB Ltd
3.	Joint Ventures
I	ONGC Petro Additions Ltd
ii	ONGC Tripura Power Company Ltd
iii	Mangalore SEZ Ltd
iv	Dahej SEZ Ltd
v	ONGC TERI Biotech Ltd
vi	Indradhanush Gas Grid Ltd
4.	Associates:
i	Petronet LNG Ltd
ii	Pawan Hans Helicopters Ltd
iii.	Rohini Heliport Ltd.

 

1. ONGC Videsh Ltd

Production

ONGC’s overseas arm, ONGC Videsh Ltd. registered increase in production of oil and gas by 1% with net production of 14.981 MMTOE in FY’20, as compared to 14.833 MMTOE in FY’19. 

Production	Unit	FY’20	FY’19
Crude Oil	MMT	9.755	10.097
Natural Gas	BCM	5.226	4.736
Total Oil and Oil Equivalent Gas	MMTOE	14.981	14.833

 

Turnover

The Company has achieved a turnover of Rs. 15,538 crore during FY’20 against the turnover of Rs. 14,632 crore during FY’19 (increased by 6%).

Profit After Tax (PAT) and Dividend

The Company registered a PAT of Rs. 454 crore in FY’20, as against a PAT of Rs. 1,682 crore in FY’19. The Board of Directors of the Company has recommended final dividend of Rs. 2.00 per share on fully paid equity share par value of Rs. 100 each, subject to approval by the shareholders. The dividend amounts to Rs. 300 crore.

 

 

Hindustan Petroleum Corporation Ltd (HPCL)

HPCL has registered good performance during the FY’20 considering the specific challenges faced by the sector especially towards year end due to demand contraction on account of Covid 19 pandemic.

Refining throughput and Sales Volume