OCAC released the sales volumes for OMCs for 9MFY21. During the period, collective sales were recorded at 14.2mn MT up by (+16%/YoY) on the back of increasing transportation activities, pickup in auto sales, and FO demand hatching from power sector.

Furnace Oil soared by (44%/YoY) clocking in at 2.3mn MT, while, High Speed Diesel (HSD) and Motor Spirit (MS) sales  stood at 5.4mn MT (+18%/YoY) and 6.1mn MT (+10%/YoY), respectively, in 9MFY21. While on a yearly basis, the sales recorded a significant growth of (74%/YoY) to clock in at 1.5mn MT in Mar’21 compared with 1.01mn MT in SPLY, where, MS and HSD contributed the most with 685k MT (+27%/YoY) and 535k MT (+40%/YoY) in Mar’21, respectively. FO sales massively increased by (236%/YoY) to stand at 213k MT during the period amid gas shortage to power plants in summer season which further increased the demand of alternative fuel. Moreover, higher Auto sales on the back of new car variants and improving LSM index collectively contributed to the sales growth. Furthermore, OMC volume went up by (6%/MoM) to stand at 1.49mn MT as against 1.40mn MT in Feb’21.

PSO sales up (22%/YoY) in 9MFY21 and (+81%/YoY) in Mar’21

Pakistan State Oil (PSO) grabbed the major share of 46% in Mar’21. The overall volumes of the company reached 6.5mn MT (+22%/YoY) in 9MFY21. HSD and MS remained the top contributors for the under-review month with sales volume recorded at 2.54mn MT (+27%/YoY) and 2.53mn MT (+18%/YoY). On a yearly basis, PSO sales increased by (81%/YoY) reaching 693k MT in Mar’21, where FO sales has registered a massive growth of (1.04x/YoY with 118k MT). HSD and MS sales increased by (63%/YoY) and (44%/YoY) reaching 244k MT and 289k MT in Mar’21, respectively. On a MoM basis, PSO sales increased by (8%/MoM) to 693k in Mar’21.

APL volumes up (9%/MoM) and (+13%/YoY) in Mar’21

Attock Petroleum Limited (APL) volumetric sales remained almost flat in 9MFY21 to stand at 1.2mn MT, whereas, on MoM basis, the volumes uplifted by (+9%/MoM) where MS, HSD and FO clocked in at 51k/40k/33k MT during the month of Mar’21. On a yearly basis, APL witnessed a surge of (13%/YoY) in its sales as compared to 112k MT noted in Mar’20.  

HASCOL Sales down (-21%/YoY) in 9M & (-7%/MoM) in Mar’21.

Hascol Petroleum Limited (HASCOL) sales volumes deteriorated by (21%/YoY) to clock in at 634k MT in 9MFY21 on contrary to 801k MT in SPLY. MS supported the shrinking volumes by adding 356k supported by HSD which added 269k. However, on a monthly basis, HASCOL’s volumes were on a downward trajectory by (7%/MoM) to stand at 40k MT compared with 43k MT in Feb’21. The overall volumes experienced a downfall of (53%/YoY) from 85k MT in Mar’20 on the back of FO supply shortage.

Shell Sales up (36%/YoY) in Mar’21

Shell Pakistan Limited (SHEL) continued the gradual recovery with volumes increased by (10%/YoY) 9MFY21 standing at 1.1mn MT. During the discussed period, MS and HSD contributed 645k and 433k MT in total sales, respectively. Alternatively, on a yearly basis, Shell witnessed an increase of 36% to clock in at 130k MT as compared to 95k MT in Mar’21 supported by the sales of MS with 78k MT. Also, on a  monthly basis, sales increased by (5%/MoM). 

Outlook:

Going forward, we expect the OMC sector to witnessed robust sales growth. Also, the Government has decreased the POL prices for the month of Mar’21 and announced that the businesses will not shut down amid COVID third wave. Furthermore, the fuel demand from the power sector is likely to elevate the overall volumetric sales of the OMC sector in the upcoming period. However, limited transportation activities amid COVID may dent POL sales in coming months.     

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