India's Petrol Sales Rise 5.7% In June, Cooking Gas Demand Up 9.7%

Sales of liquefied petroleum fuel (LPG), rose 9.7 per cent to 2.26 million tonnes year-on-year

The nation's gas demand recovered final month after slumping to a nine-month low in May, as restrictions to curb the unfold of the pandemic have been eased and mobility picked up.

Fuel consumption, a proxy for oil demand, rose eight per cent from May to 16.34 million tonnes, knowledge from the Petroleum Planning and Analysis Cell (PPAC) of the Ministry of Petroleum & Natural Gas confirmed on Friday.

A second COVID-19 wave, which stalled mobility and dulled financial exercise, dragged gas consumption to its lowest since August in May.

Pandemic infections have, nevertheless, eased from May's peak, prompting a 1.5 per cent year-on-year enhance in gas demand final month.

"Going forward we see road fuel demand reaching pre-pandemic levels by the end of the year since the vaccination program has already come a long way," mentioned Rystad analyst Simen Eliassen, including that jet gas may additionally recuperate by 115,000 bpd.

However, Eliassen cautioned that new coronavirus variants and mutations may pose a danger to the restoration.

A senior authorities official mentioned on Friday India's devastating second coronavirus wave was not but over. Concerns over a brand new Delta Plus COVID-19 variant has additionally clouded the nation's financial outlook.

Diesel consumption, which accounts for about 40 per cent of India's refined gas gross sales, fell 1.6 per cent yr on yr to six.20 million tonnes, however rose 12 per cent from May.

Sales of petrol, elevated by about 5.7 per cent from the identical interval final yr and jumped 21 per cent from May to 2.41 million tonnes.

Sales of cooking fuel, or liquefied petroleum fuel (LPG), rose 9.7 per cent to 2.26 million tonnes year-on-year, whereas naphtha gross sales dropped by about 3.1 per cent to 1.19 million tonnes.

Sales of bitumen, used for making roads, have been down 32 per cent from a yr in the past, whereas gas oil rose 1.9 per cent.