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Reliance Petro posts Rs 1,464-cr profit

Our Bureau

MUMBAI, April 30

RELIANCE Petroleum Ltd (RPL) has reported a net profit of Rs 1,464 crore in its first year of operations after its refinery was commissioned. Net sales for the financial year amounted to Rs 30,963 crore. The company's exports stood at Rs 6,410 crore duri ng the fiscal.

``We expect about 10 to 15 per cent of the Reliance Group's revenues to come from its oil and gas business in the near future,'' Mr Anil Ambani, Managing Director, RPL told presspersons here. The refinery's gross refining margins were in the range of US $4-5 per barrel, Mr Ambani said.

RPL expects the Government's nod for marketing controlled products, during the year, he said. The feasibility study for LNG exploration in Iran for which the company has tied up with the National Iran Oil Company, is also expected within the ``next few m onths''. The company has also submitted an expression of intent for picking up stake in IBP Ltd.

Most international oil and gas companies are expected to participate in bidding for picking up 13 per cent stake in RPL.

Reliance Industries Ltd (RIL) has made a formal application to the Government seeking permission to divest 13 per cent of its 64 per cent stake in RPL. The stake is valued at Rs 3,500 crore and will result in a potential gain of Rs 2,100 crore to the Rel iance Group, Mr Ambani said.

RPL has made insurance claims for loss of revenue, increased cost of working and other losses due to the Gujarat earthquake in January. An amount of Rs 64 crore has been charged in the profit and loss account as pending settlement of claims, a news relea se said.

Total expenses were Rs 27,909 crore. Tax provisions amounted to Rs 117 crore while depreciation was Rs 661 crore. The refinery had 95 per cent capacity utilisation during the fourth quarter because of the earthquake, Mr Ambani said.

The company, which has bid for 15 blocks under the New Exploration and Licensing Policy II, has acquired 50 per cent stake in five exploration blocks from Tullow, UK.

Oil and gas from RPL's Panna-Mukta-Tapti fields went up by 22 per cent and two per cent respectively.

The company has reported a net profit of Rs 297 crore and sales of Rs 7,506 crore for the fourth quarter ended March 31, 2001.