Oil India Limited (NSE: OIL) Q1 2026 Earnings Call dated Aug. 13, 2025
Corporate Participants:
Unidentified Speaker
Abhijit Majumder — Director (Finance)
Abhijit Das — Chief General Manager, Corporate Finance
Analysts:
Unidentified Participant
Varatharajan Sivasankaran — Analyst
Vivekanand Subbaraman — Analyst
Karen Kwan — Analyst
Achal Shah — Analyst
Vaibhav Badjatya — Analyst
Nitin Tiwari — Analyst
Hardik Solanki — Analyst
Somaiah — Analyst
Somaiah — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Oil India Limited Q1FY26 earnings conference call hosted by Antique Stock Broking Limited. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then 0 on your Touchstone 4. Please note that this conference is being recorded. I now hand the conference over to Mr. Vartarajan from Antique Stockbroking. Thank you. And over to you sir.
Varatharajan Sivasankaran — Analyst
Thank you Manav. A very good morning to everyone. I’d like to extend a very warm welcome to all the participants as well as the management of Oil India Limited. We have with us the senior management of Oil India Represented by Mr. Abhishek Madhum, Director of Finance. Mr. Saloma Yamdu, Director Exploration and Development. Mr. Trailukya Burgoyne, Director Operations. Mr. Bhaskar Jyoti Sukhar MD NRM Mr. Ranjan Goswami, ED. Business Development. Mr. Anup Kumar, ED Mr. Ajay Kumar Sahu, ED Company Secretary Mr. Abhijit Das, CGM FA and over the call to Mr. Abhijit Majinka for opening remarks. And then we can move on to the Q and A.
The floor is yours Sir.
Abhijit Majumder — Director (Finance)
Thank you Mr. Bhardarajan. Good morning ladies and gentlemen. A warm welcome to all the participants joining us for Oil India Limited’s Investor and Analyst Company Conference Call for the first quarter of financial year 2526. I am Abhijit Majumdar, Director Finance at Oil India Limited. I am joined today by my esteemed colleagues from both Oil India and our material subsidiary Mumaligarh Refinery Ltd. I would now like to invite our Chief General Manager Corporate Finance to present the opening remarks.
Abhijit Das — Chief General Manager, Corporate Finance
Thank you sir. Good morning ladies and gentlemen, all who have joined in this con call. At the outset I would like to. Thank Antique Stockbroking Limited for hosting today’s analysts and investors call for Oil India Limited. Myself is Abhijit Das, the Chief General manager Oil India Ltd. Posted in a corporate office in Noida. Along with me our senior management team has joined along with other colleagues Mr. Abhijit Majumdar, our Director of Finance Mr. Saloma Yamdo, Director Exploration and Development Mr. Ajay Kumar Sahu, Executive Director Company Secretary and Mr. Saket Garoria of NRL Finance Team. Along with this team from our headquarters. In corporate office in Noida, Mr. Goswami has joined from our field headquarter. He is ED production. On behalf of the management, I welcome you all in our first quarter earning calls for the quarter ended 30 June 2025. The final result of this quarter has been approved by our Board of directors in his 517th meeting which was held on 12th of August 2025 and has been duly published as per the requirement of the statute. Just a quick overview of our strategic steps which we have taken. All India continued its steady transition into the Integrated Energy Company.
On upstream front we have been maintaining consistent growth in both oil and gas production on quarter to quarter basis. Our midstream pipeline expansion is progressing well and has been targeted. The downstream side expansion of Nimuligar refinery is gathering momentum and going to get commissioned as planned in the phased manner. We are expecting to get its commission in the month of December 2020. Few operational highlights which has been taking place in this quarter. I just like to bring to the knowledge of this entire August gathering here in production fund we are continuing in growth story during the quarter.
Oil has pursued its efforts towards ensuring national energy security by sustaining oil and gas production from its mature fields in Northeast. At 1.680 million metric ton oil and gas equivalent for the current quarter as compared to 1.689 million metric ton of oil equivalent in previous quarter of 25. We sustained momentum in our upstream operation. The crude oil production of the quarter stood 0.85 million metric ton. There had been a marginal decrease of 2% on year to year. But we have been achieving 1.07% on quarter to quarter basis. Increase in production of crude oil. The natural gas production for the quarter has reached 0.83 bcm.
On quarter to quarter it has increased by 2.61% and on year to year it is 1.1%. We have a good news during the quarter that during the quarter oil has discovered a hydrocarbon discovery in Namrup Bharat OLP block which is in Upper Assam and we have also commenced natural gas production from Bakitiba discovered small fields in Rajasthan in the district of Jaisalmer. This growth reflects our continued focus in well intervention and field development activities. I would like to bring some glimpse. Of our financial highlights during the quarter. The average crude oil realization there was. A sharp decline during the quarter which has decreased around 22% as compared to year to year basis. In the current quarter we had a realization of $66.2 per barrel as compared to $84.89 per barrel. The natural gas price stood at 6.72 MMBtu aligned with the regulatory benchmark as being guided by the Government of India. Our Standalone Revenue we have registered a standalone revenue during the quarter of 5012 as compared to 5839 in the previous year. We have a marginal other income but our total income during the year was 5,188 as compared to 6,001 in the previous year of the first quarter.
Our PBT for the current quarter is 1097 as compared to 1,974 in the previous quarter in the previous year and our PAT has gone down because of the sharp decline in the price of crude oil. We have registered the bottom line of 813 as compared to 1467 in the previous year. We had a substantial other comprehensive income because of our strategic investment in Indian Oil Corporation. The share price has increased around 1,400 crores or we are having 7.284 million equity shares of Rupees 10 each. But we have a very strong other comprehensive income and it has increased as compared to the previous year because of low PAT.
Our earning per share has gone down by rupees 4. We have earning per share of rupees 5 in the current quarter. The EBITDA margin has gone down from 43 to 34 in the quarter because of lower revenue and small increase in our operating expenses for providing provisions again our well assets. Two major things which has happened in the current year is that we have provided of 307 crores in our 2 Bangladesh block which we have decided to increase in this quarter. Another provision which is having made up our another overseas joint venture is Gabon Roadblock which is we have provided of 207 crore because of non performing as per the plan our performance from our material subsidiary.
We have Mr. Garod here with us to answer all your questions but the revenue from of our material subsidiary is 6,208 crore during this quarter the refinery has been operating as a capacity of 106%. We had a crude throughput of 799 TNT as compared to 764 TNT in the previous financial year. The EBITDA of Our Material subsidiary is 786 and the PAT is 488 crore. The consolidated performance of the company. The company has sustained a consolidated pat of around 2047 crore in spite of dip in pat in the standalone profit. The major reason of increase in other group performance is contribution from our material subsidiary and our performance from our foreign subsidiary.
For our Russian investment they have contributed 544 and 780 crores respectively. They registered a better group performance for the quarter. Our EPS per share in the group has also increased marginally from 11.59 per share to 11.66 per share. With this I’d like to share my closing thoughts with you before I hand over to the gathering to pick up the question answer session. All India has delivered resilient and disciplined performance in the first quarter of the current financial year supported by its operational stability and prudent financial execution. As we look ahead, our focus remains on execution excellence, production growth, long term value creation across portfolio of our partners.
With this I like to conclude my remarks and welcome you all in the questionnaire session. But a request is that kindly put up two queries for participants to allow time for all. Thank you sir.
Questions and Answers:
operator
Thank you very much sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch tone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we’ll wait for a moment while the question queue assembles. We have our first question from Lino Vivek Anand from Ambit Capital. Please go ahead.
Vivekanand Subbaraman
Hello. Thank you so much for the opportunity. My first question is on the production outlook and guidance for FY26 and 27. Could you refresh us on that? And that’s my first question. The second question is on the capex that you have been guiding for FY26 and 27. If you can give us the number as well as the split across key projects like contribution to NRL and also the upstream operations and other areas like cbd. Thank you.
Abhijit Majumder
Ed Production, are you there?
Unidentified Speaker
Yes sir.
Abhijit Majumder
Can you take the first question?
Unidentified Speaker
Yes sir. Regarding first question, our incremental oil and gas columns were largely driven by few high performing domestic fields like Baghdan field is continuing delivering strong volumes supported by expanded gas infrastructure. Barakuri has emerged as a key contributor. We are planning 15 wells to drill in this area which will give that mission four plus production ramp up. Khumshai we developed that network delivery line and Khumsai also taking step up for this after pipeline connectivity. Kumsai production is also helping up.
Vivekanand Subbaraman
Hello.
Abhijit Majumder
Yes.
Vivekanand Subbaraman
Would you Be able to help us with some quantitative guidance on FY26 and 27 I think. I believe the last time you had highlighted 3.5 MMT of oil and 3.5 for. Sorry, 3.7 for oil and 3.5 for gas if I’m not mistaken.
Abhijit Majumder
Yes. So our actual achievement for 2425 has been 3.458 for oil and 3.341 for gas. 3.252 for gas. Now for 2526 we have set a target of 3.70 MMP for oil and 3.40 for gas. I mean 3.6565, 3.65 for gas. Does that answer your query or you want data for 2627 as well?
Vivekanand Subbaraman
Yes, yes the latter would be helpful.
Abhijit Majumder
27 also 27 is 3.95. That’s crude oil, MMT and natural gas would be 4.31.
Vivekanand Subbaraman
All right sir, this is very helpful. If you could just address my second question that would be great. The CAPEX. CAPEX for FY26 and 27 along with some details of the area.
Abhijit Majumder
Taking that question, he’s replying yes.
Abhijit Das
In the previous year. In the previous year as you have all known that there was an increase in our capex extension by 123% as planned for 2526 we have planned 6995 crore or you can say 7000 crore.
Abhijit Majumder
That is at the standalone level, right? Oil as an upstream entity.
Abhijit Das
Yes, please continue sir. And during this quarter ended what we have achieved for our capital expenditure is for exploration and development. We have already spend around 1100 crores for our capital equipment and facilities it is around 900. For our survey expenditure it is 250. If we take this expenditure for our EMB activity which is around 2,300 crores. After considering this if we think of some overseas investment also we have spended a of time lot around 300 crores majorly in DNG activity and drilling. Other than that we have also contributed around 550 crores rupees for our investment in NRL the final call amount which we have been due for payment.
So for this quarter if you can sum up you can find it 3350 crores of rupees for the current financial year as targeted around 7,000.
Abhijit Majumder
So. Would you like to sake the NRL part of the capex with regard.
Unidentified Speaker
To Namalizar refinery the capital expenditure target for the current year is around 9133 crores which is largely on account of the expenditure to be made in its current refinery expansion plan and the. And the petrochemical unit that will be coming up. So current year we are planning a capex of 9100 odd crores and in the next year the capex will be around 7300 odd crores.
Vivekanand Subbaraman
Thank you so much for answering my question.
Abhijit Majumder
Thank you.
operator
We have a next question from Lionel Global sen from ICICI Securities.
Abhijit Majumder
Please go ahead before, before you connect him just a small clarification from your side. The others, can they hear us or they are kept in the queue so.
operator
They can hear us?
Abhijit Majumder
All the other participants who are, who are all, who have all joined? Yes sir, just now the session that we had could they hear us? Or maybe they are having similar queries, similar questions so we may have to repeat ourselves. So how is it formatted?
operator
Going late, that’s why. But they can hear us?
Abhijit Majumder
They can if we so wish.
operator
Yes, if they have joined on time they would have listeners they will be.
Abhijit Majumder
Able to hear us. That’s fine. Yes, many of them may be having same type of questions. Okay, please.
Unidentified Participant
Yeah, can I go ahead sir?
Abhijit Majumder
Yes please, yeah.
Unidentified Participant
So just about this Russian investment that was mentioned that it has actually contributed to the.
Karen Kwan
Concern.
Unidentified Participant
Just wanted to understand where does the. I mean how is the payment mechanism actually working at this point of time. And what sort of dividend can we. Actually expect for the rest of the year? Are there any issues with respect to sanctions or anything else with respect to repatriating our share of dividend from Russia at this point of time?
Abhijit Majumder
You have any other question or. That’s all.
Unidentified Participant
The second question sir was with respect to capex I did not get the audio completely. I just wanted to clarify that the FY26 guidance mentioned was 6995 crores. Just wanted a clarity on that. Is that the correct number?
Unidentified Speaker
Yes.
Abhijit Majumder
Yes that’s the right number. Yes, correct.
Unidentified Participant
Okay. Okay. All right so then this is the Russia part was the main question that I had.
Unidentified Speaker
See as far as the dividend from two of our investments in Russia are concerned that is Tyngd and the Bankernet they have almost recovered close to 95% of our investment combined in these two assets 111% of investment has been recovered through dividends for the tax uriac asset and close to 83% plus dividend sorry, investment has been recovered through dividend in banker neck asset as far as the outlook for the current year is concerned digitally dependent on the performance we do not have any guidance available as of now how much of dividend will come. But in the current quarter we have received around 11 million of dividend from cash UDAC project and to just you know, update on the performance of these assets and an assurance that dividend flow will continue.
For your information the tax rate is still producing at the peak level of 5/ MMT equivalent of oil and that is still peaking. So there is no downside to the dividend inflow that we see from this asset. As far as Banker Net concerned, this is in the declining trend but all the necessary infrastructure logistics have been upgraded to arrest those declines. So there will be continuous flow of dividend in that asset also. And as I told you, 95% of investment is recovered. We are at least sure that during the current year 100% of investment for both the assets will be recovered by oil and then it will continue also further in the coming years.
Unidentified Participant
One last question if I can squeeze in on nrm, we already mentioned the CAPEX plan. Can we also get a sense of the operational progress of the expansion in terms of physical progress timeline for the completion?
Unidentified Speaker
With regard to the physical performance the company has achieved almost 106% utilization in the capacity utilization in the first quarter with nearly 799 tmp of throughput and for the rest of the year we expect to overshoot the capacity utilization of 100 again this year. So we’ll be we are targeting for a good throughput of more than 3 MMT in this year and with regard to refinery expansion our AS has been informed. So the commissioning of the project will start in phase manner from December 2025 itself and slowly the productions will also get ramped up as and when the unit starts coming up and start getting. Commissioned in the next financial year.
Unidentified Participant
That is very helpful sir, thank you and I’ll come back if I have more questions.
operator
Thank you. We have our next question from Lionel. Karen Kwan from Pinebridge, please go ahead.
Karen Kwan
Oh hi management. I have a couple of questions. The first question is as we’re upstream operator, it seems like we won’t have much direct impact from the US tariff but from the indirect impact funds we could can you comment on what sort of impact do we see from the US tariff and also what sort of oil price expectations do you have for the next 12 months? And secondly, sorry I could not hear the fiscal year 2627 sort of capex number was it 7300 for the fiscal year end 27 March and also lastly can you give us any updates in terms of previously we were looking to doing some trial runs for the Hydrogen cell E buses and the solar project collaboration with hppcl.
Just some updates on the ESG fund for renewable energy and any new sort of renewable energy capacity that will be online for the next two to three years. Thanks a lot.
Abhijit Majumder
As far as the impact of US tariff on oil operations, I mean the upstream operations are concerned. Let me clarify that. There would be no impact at all because ours is all internally consumed. We are not to going. We don’t export anything anywhere. So we are, we are a hydrocarbon deficient country. Hence everything will be internally consumed. So we don’t have any apprehension as far as US tariff is concerned. So with respect, with respect to capex for 2627 that’s. That’s what you wanted to know?
Karen Kwan
Yes, because I heard for. For the first one, FY2526 is 9133 crores from the previous question. And then I heard 7300 crores for fiscal year 2627. Is that 7300 number correct? It’s not worth the number.
Abhijit Majumder
No, your numbers are correct. However we have a material subsidiary who would be investing about 9100 crore for 2526 and oil as parent would be investing 6995 crore. These are all investment numbers for 2526 as far as 2627 is concerned. Sorry.
Karen Kwan
Oh no, please go ahead.
Abhijit Majumder
Okay. So as far as 2627 is concerned, OIL would be investing 7585 crore covering the various heads under which the investments will be made And NRL number 7300 and NRL investment would be 7300 crore. So total would be 14,000 plus cr.
Karen Kwan
I see 2627. Thank you. Yep.
Abhijit Majumder
Okay.
Karen Kwan
And can you just quickly comment on the ESG side? Thanks.
Abhijit Das
Yes.
Abhijit Majumder
See. Yes, we have your. Your mark the sum of rupees 25000 crore to kind of achieve our net zero target by the year 2040. So investments will be made in different segments starting from solar, wind energy. We are also into CBG which is the compressed biogas produced from. I mean mostly municipal solid waste. So these are some of the projects. We are in the process of setting up about 25 CBG plants across different states in India. We have already tied up with a few states already. The MOUs and other agreements have already been signed. Additionally we are going to set up nearly 1.9 gigawatt of solar energy mostly in two states.
One of which is in the northeast Assam and the other one is Rajasthan. In these two states we will be setting up, we’ll be setting up solar, I mean solar energy plants. And this will actually be done by our wholly owned subsidiary oil Green Energy Limited.
Unidentified Speaker
And one more sir, 150 megawatt solar plant that HIMASL produce.
Karen Kwan
I see it. So for the 1.9 gigawatt solar in the northeast in Rajasthan, what is the rough timeline? We expect it can be up and running. And lastly, we’re not doing the hydrogen cell E buses anymore, right?
Unidentified Speaker
March 26.
Karen Kwan
Target March 26. Very fast. Okay.
Unidentified Participant
March 26. Regarding this solar projects as already sir has already told. So we are aiming 645 megawatt in Assam and 1 gigawatt in garbage of Rajasthan and 200 megawatt clean energy projects in Rajasthan. And as far as muscle progress is concerned, so we are already establishing a 1 megawatt capacity of a green hydrogen plant in a place called bedding in commercial products. EPC contract has been awarded and the work is in progress right now. And as far as the 150 megawatt solar project is concerned, we are discussing with the Emerson Produce European field because discussions are going on.
This is hopefully this will come up.
Karen Kwan
Thank you. I have no more questions.
Abhijit Majumder
Yes, one more. Just before we close, there’s a bioethanol plant coming up in the northeast. So that is going to be commissioned very soon. The date actually has already been finalized. That is going to be coming, I mean inaugurated on 8th of September. That’s a bioethanol plant which is meant for. For mixing of bioethanol with HS and msd.
Karen Kwan
Okay, thank you.
operator
Thank you. We have our next question from the line of Somaya V from Avendra Swag. Please go ahead.
Unidentified Participant
Yeah, thanks for the opportunity. Sir. My first question is on the NRL projects. So if you could just help us with you know, status of completion. So for instance the refinery in terms of completion, whether it’s 90, 95% and also in terms of pipeline length from parade to the total length and so far the completion achieved. Similarly on the other side, the pipeline to Silicuri, if you could just help us with some details in terms of extent of completion on these projects should be helpful.
Unidentified Speaker
Yeah. So with regards to our refinery expansion project, the overall physical progress of around 80% has been achieved by the end of the quarter one. And in case of our CNCPL, that is the crude oil pipeline, we have achieved around 84% of physical progress. And with regard to the refinery expansion part, it is around 76%. So we are the pipeline crude oil Pipeline is expected to get commissioned in the early Q4 of 2526. And and just to inform that we have all out of 1635 kilometers. We have already opened Rou for nearly more about 1500 kilometers.
And the phase commissioning of the project is set to begin from December 25th. And wherein each unit in phase manner will start getting tested and commissioned and the production will be ramped up slowly.
Unidentified Participant
Understood sir. In terms of utilization of this expanded capacity, let’s say six months from commissioning ballpark, where should we be able to reach to?
Unidentified Speaker
So we are expecting that in the second half of financial year 2627 actually additional output from the NREP will start coming in. However in the initial stage the production levels will be around 40 40% additional. And then going forward we are expected expecting that in the financial year 2728 we will have a output of nearly. 80% from the new refinery.
Unidentified Participant
That’s it. So second half of FY27 roughly 40% kind of an utilization of the expanded capacity.
Unidentified Speaker
Yes. Yes, that’s right.
Unidentified Participant
Got it sir. Also on the upstream part in the quarter gone by, were there any shutdown by customers that impacted our production? And also for this quarter are we seeing any shutdown related impact to production?
Unidentified Speaker
Yes sir. This shutdown of non appliptment of gas is affecting our production. We are setting our wells frequently. So once it is that connection as usual connectivity is build up and DNPL also get that permission and it will be that production will ramp up.
Unidentified Participant
Yes, I was just trying to understand whether the last quarter whether any fertilizer or any other industry there was a shutdown that led to you know marginal decline. So just want to understand on that.
Unidentified Speaker
Yes that shutdown is one is that BPCL, VCPL they have shut down for more than 20 days. Then BVFCL also have shut down Numuligar also some amount they have taken less. So all these are appeal, they are the taking maintenance up. So these are affecting our production sir, now these are now started taking gas.
Abhijit Das
I think the LPG was also shut down for a month.
Unidentified Speaker
Because LPG plan also shut down for a month.
Unidentified Participant
Yes sir. Got it. So one last question. On the other expense this run rate has been higher. So for instance this quarter it’s around 1700 crores. So one is this 300 crore provision related to the Bangladesh asset. But I think in the opening remarks you also mentioned another 200 crore provision. So total 500 crores of provision is within the 1700. That’s the first part. And second in general this Run rate has been going up last two three quarters. If you could just help us with some final details as to get the.
Abhijit Majumder
Last part of your question. One is the normal on provision and what is the other part?
Unidentified Participant
Other part is you know your other expense. If you the breakup that you give as part of the financial.
Abhijit Majumder
However, what exactly See Bangladesh was actually it is flowing from the previous year Bangladesh. We had our performance bank guarantee invoked by Petro Bangla which is the equivalent of DGH in Bangladesh. So with respect to some MWP our BG was invoked. However both the companies as you know that we are in partnership with ovl. So both of us decided to quit from that particular project. So this 285 crore roughly which the amount was invoked in the previous year and this was charged as expenses in the current year. This has got nothing to do with the current year as such.
It is just flowing from the previous year. And there were a few other wells which is a regular kind of a thing. In an E and P business. We have provisions with respect to few wells. There were basically two wells. One is Michaki and the other is Bhoju. These are the two wells in respect of which we made provisions. However, studies are going on and if we get to see some better results in the days ahead possibly we might take a different call and reverse it. That decision is yet to be taken. These are broadly the provisions that we have taken in our books in the current quarter.
Unidentified Participant
I was just looking at this the total other expense breakup of the 1700 crores. So where you have your contract cost expiration.
Abhijit Majumder
On average we take about 400 crore of provision annually. But this time because of Bangladesh which by itself took away 285 crore. That apart from that others are regular provisions. They are nothing. I mean these are not operational hiccups. These are normal provisions which any ENP company would take and we have also taken.
operator
Thank you sir. We have a next question from the line of Achal Shah from Ambit Capital. Please go ahead.
Achal Shah
Hi sir, can you throw some light on the inventory losses at nrl? Like. Like out of the reported grm how much was impacted due to inventory losses? That is my first question. And second on sir, what is your near term and long term crude price outlook like for F26 and then onwards?
Unidentified Speaker
I will take the first question with regard to the impact on GRM of NRL. So NRL reported a GRM of 5.$02 per barrel in the for the period of April to June 2526 and we had to take a hit of 2.$93 for this particular quarter on account of loss of the value of the inventory which was largely on account of falling the crude prices compared to 31st March and closing at 30th of June. So for the second part of the.
Abhijit Majumder
Question, it’s a very difficult question. See, crude price nobody can predict. And as conservative entities, we also cannot make a real prediction about a major increase in the crude oil price in the days ahead. So our outlook would be at best maybe 65 to 70. We are currently hovering at around 66, 67. So we don’t expect a major increase in the crude oil price in the days ahead. If that happens, that will be very good for us because the result that you have seen this time is largely because of a 22% drop in crude oil price.
Achal Shah
Understood, sir. Sir, any update on the timeline for invoicing the gas as new well gas?
Abhijit Majumder
See, as far as new well gas is concerned, the notification says that it has to be supplied to to the city gas distribution which is on top of the list. There are other sectors as well, but CGDS have to be provided. Have to get the preference first. Since CGDS are yet to come up in the northeast, we are facing that problem. However, we have made a request to the ministry to let us allow the gas to be lifted by nrl. Give us that marketing freedom so that see, we are sitting on a reserve of roughly 140 BCM of gas.
So as far as supplying gas is concerned, we are. We are. We are ready. But then we have to have the network there and also the sector to which the gas can be supplied. Now if cgds have to be supplied then we’ll have to wait because CGDS will come up. It will take some time, maybe not before 28. But in the immediate term if we are permitted to supply gas to NRL or other producers, then we are. We are. Okay. We have made a request to the Ministry. If that is granted, maybe we will be able to fetch the premium that the notification provides for.
Achal Shah
Understood, sir. Thanks.
operator
Thank you. We have our next question from line of web of honesty and integrity investment. Please go ahead.
Vaibhav Badjatya
Yeah, thanks. Thanks for providing me the opportunity to speak. So I have two questions on the Northeast gas pipeline network. So first is you know the gas flow that can happen from Lumaligar to Burani, you know, whenever we we ramp up our our production. I think from that that connection is still not fully ready as per my knowledge because there is some compressor. Guwahati station has to install some compressor station which is. Which has not yet started. So I just wanted to understand, understand, you know, what is the status status on that compressor station and when that can be commissioned so that, you know, full gas flow can be, can be established.
Second is before, you know, for gas to float till Maligar, we also need DMTL pipeline, which has to be declared at. Declared it as, you know, common carrier. So I’m, I’m also at last near, you know, what, what is the status of DNPL being declared as common carrier for that to happen? So if you, you can just provide a status update on these two things, that would be helpful.
Abhijit Majumder
See, presently the infrastructure is like this. BNPL is already there, which is supplying roughly 1 mm spmd of gas to Rumaligad. And that capacity is now being enhanced. It would be able to supply roughly 2 to 2.5 mm SCMD of gas. Now that is independent of whether DNPL is designated as a common carrier or not, because this is happening already now. Second part of the be, we are yet to get clearance from the ministry for the Fidder line feeder line, which will run parallel to the existing DNPL line. So that would actually supply gas to Numaligar and beyond, because that will, that will be part of the IGGL network that is being commissioned.
So IGGL would certainly be the common carrier in this case. Whereas DNPL will play a limited role to the extent that it would supply gas to the customers, various customers in the northeast to whom they are already supplying beyond this, if the gas has to flow beyond to other parts of the country, you need the IGGL network which is the first phase, and that first phase is already commissioned. There’s no compression issue. Nothing is there. But because the lower end is not connected yet, or the upper end, I’m wrong. Upper end, this is up. Upper end is not connected yet.
We are unable to kind of inject gas into the system so that it can float to nun bigger and beyond.
Vaibhav Badjatya
Right? Yes. My question was on that, you know, onward, onward flow from onward flow itself. So on the phase one itself. So I think if gas has to flow from Assam towards, you know, Burani, I think at Guwahati we need compressor station, right? Otherwise the gas, gas will not be able to flow freely till Burani. I think that compressor station commissioning is still pending. If I’m not wrong, that compressor station.
Unidentified Speaker
Already commissioned at Bhaita.
Vaibhav Badjatya
Okay, that has been commissioned. Okay. So the only, only hurdle is basically our upstream connection. And there’s no and there’s no proposal as such to use DNPL itself to supply to other customers apart from the Maligad and local, you know, gas gas consumers. There’s no, there is no proposal as such to declare DNPL as a common carrier.
Abhijit Majumder
No, nothing as such.
Vaibhav Badjatya
Got it. That’s it.
Abhijit Majumder
Essentially. Essentially a supplier within the Northeast, largely in the state of Assam only.
Vaibhav Badjatya
Got understand. That’s it for my sir. Thank you.
operator
Thank you. We have our next question from line of Nitin Tiwari from Philip Capital India. Please go ahead.
Nitin Tiwari
Good morning. Thanks for the opportunity. Slightly confused about the status of pipelines and capacities because like there are several phases in several pipelines involved. So when you mentioned that the expansion that we’re talking about in case of DNPL which is from one to two two and a half. So that’s the expansion of the existing pipeline and the fiddle pipeline is in addition to this pipeline or the feeder pipeline coming in along with the pipeline would lead to the expansion that is once secondly like you know as you mentioned that the phase one of IGG is completed and it’s commissioned.
So now I mean the, the connection that you refer to what is that connection? That is required and where are we in terms of our roadmap to increase our gas production from. From here to about 5VCM that we’ve been targeting. I mean what are the roadblocks to that ramp up? So if you can just comment on that then I’ll ask my.
Abhijit Majumder
It was a long one and I couldn’t hear you properly. Anyways, whatever I have understood of the question. See we are presently our production is 3.2 and we are supplying the entire gas to the various customers located in the Northeast only. So additional two make it fine. Which is basically DNPL alone. BNPL is now being. Capacity is now being enhanced from 1 to 2 so that would in any case make it 4 plus. So whatever we are saying that 5m bcm of gas would be supplied to customers in the Northeast for which I do not really think that the feeder line has to come immediately.
Feeder line would make. It would make the capacity rise to maybe seven plus because Twitter line is a parallel line and that would kind of evacuate much larger quantity of gas than the five five for five. We need some, some network within the fields between the various wells which is oil’s own network which would be oil’s own network. Plus the DNPL line would make it comfortably 5 + for which we don’t need a feeder line. However feeder line the objective is to finally achieve our target of supplying roughly 8-9 mm SCMD of gas in the whole of northeast and the surplus if any that would be supplied through the IGGL network to mainland India.
Nitin Tiwari
So that’s what I was referring to. So the standard capacity of DNPL is what is pending for common carrier approval right? From you are expanding the DNPL from 1 to 2 and a half MMUC MD 2 to 2 and a half and the expanded capacity is pending for common carrier approval. That’s the right understanding.
Unidentified Speaker
Presently DNPL line is transporting 1 million gas and they have revamped that line and that capacity will ramp up to 2.5 and this can be connected to IGGL if they got the PNGV clearance. Common carrier clearance.
Nitin Tiwari
Understood. So. So there. I mean you also mentioned that there’s a parallel line which you are planning along with dnpl, right?
Unidentified Speaker
Yes, that is the ideal feeder line up to Duliazan.
Nitin Tiwari
So this will be in addition to the two and a half? Mm, yes.
Unidentified Speaker
Yes.
Abhijit Majumder
Yeah.
Nitin Tiwari
Okay.
Abhijit Majumder
Yes.
Nitin Tiwari
So this is a distance still in plan. This is not like you know, implemented already.
Unidentified Speaker
This is projected to MOPNZ once it get approved that line will be late.
Nitin Tiwari
March 27th. Okay. And in case of IDJL, the upper end connection that you mentioned. So what is that connection? That is still pending for IGB.
Unidentified Speaker
That once they can lay the line get the permission then only that apparent connectivity will be there.
Nitin Tiwari
This apparent connectivity is where? I mean where is the connecting at that Oil.
Unidentified Speaker
Oil. Oil field at Duliazum
Nitin Tiwari
oil fields connectivity is pending but the pipeline is ready and commissioned Is what pipeline is ready?
Unidentified Speaker
Up to Namaligar to Numaligar to this oil field Lun it is around 165 plus kilometers. Once that permission is given by ministry then that delias and oil field will be connected. Oil India field will be coming.
Nitin Tiwari
Understood. And sir, my second question is with respect to the gas pricing which was I mean a caller also raised earlier in the call. So we are not able to like you know build the gas as per nwg. So I just wanted to understand that is this gas not eligible for gas swapping? I mean because I mean can. Can not the swapping of gas make this gas eligible for NWG prices? By swapping I mean. Yes, I’ll elaborate on my question sir. So if. If like suppose HPHT or any other gas is being used anywhere else in the country.
I mean gas molecule is gas molecule. I mean can it not be like you know, virtually swap in terms of pricing only for Oil India to get a better pricing for its gas. I mean city gas companies in the rest of India, I mean are using HPSP and other like, you know, gas gas from other sources and like, you know, paying a higher price for that. And while India is not able to evacuate its gas from Northeast, but in terms of at least taking a pricing, maybe all India can get NWG pricing and the city gas companies can accordingly like, you know, pay an NWG price in, in the rest of the country instead of like, you know, waiting for city gas to, to develop in Northeast and then NWG billing can start.
So why is that not a possibility? Sir.
Abhijit Majumder
I, I’m just trying to answer your question according to my understanding of the, of the question. So now I am saying that there are already CGD’s coming up in the Northeast. So for us to sell gas to other CGD’s in other parts of the country would arise only after we meet the entire requirement of the CGD’s located in the Northeast. So swapping whether it will happen or not, that would depend entirely on the surplus that I am generating after meeting the requirements of the, of the customers in the northeast, including the CGD’s. Now once the Northeast gets connected to the mainland India, then gas can flow anywhere and cgds are buying gas on igx, that is the exchange at which the gas is traded.
That price is a different price and for that quantity of the gas which the cgds would obtain, I would certainly get a different price that is not dependent on the, on the, on the, on the nomination price or on, on the premium gas, etc. Because CGDs are buying gas based on individual agreements they’re entering into with the cgd. I mean the buyers, the CGD buyers are entering into with the suppliers.
Nitin Tiwari
So sir, let me, let me expand the point I was trying to make a little bit more. So you are already supplying gas to say NRL in, in Northeast. Right? So NRL as per priority order is not eligible for a lower price gas. Correct.
Abhijit Majumder
So is eligible. However, it is lower down in the, in the, in the list in the priority.
Nitin Tiwari
Yes. I mean in terms of priority order, city gas gets the first priority. Right. So what I was thinking, what I was trying to say is that suppose like you know, right now we are limited by our evacuation capacity to rest of the country because of the pipeline connectivity. Now I mean, is there a possibility that that city gas companies in rest of the country because they’re buying gas from exchange for, for hpht, whether it’s HPHT or any other gas for their consumption. So is it a possibility that a virtual swap can be done? I mean in terms of like you know, swapping only the differential pricing is what needs to be charged.
And so I hope I’m able to make my point. I mean that NWG pricing, at NWG pricing, certain volume can be offered from oil India’s end to these companies and in basically exchange in lieu of that and RL could be charged a higher price which could be at like say HPHT price. I mean because at the end of the day CT gas gets the higher priority in terms of gas allocation of whatever domestic APM gas is there at MinWG gas is there. So that’s what I’m trying to get at. Because I mean because our problem is that until, unless city gas develops within Northeast, till then you won’t be able to build on nwg.
Right? Unless until that happens.
Abhijit Majumder
See, see we have made a request to the ministry to let us sell gas to NRS because the NRL is a steady customer, not just the customer. There are material subsidies. Now the capacity is being enhanced from 3 to 9. Obviously their offtake of gas would also go up. So we are. What we are saying is supposing every gas that I am producing from the, from the nomination area, the pricing is already fixed. It is fixed by the government notification only with respect to the gas produced from wells through new well intervention or some workover operations that would fetch the premium.
But otherwise the nomination gas price itself is fixed. What we are saying, as you have mentioned that if you are unable to supply gas to CGD’s, who would you supply it to? I can always supply it to other customers. My only limitation is that I will not be able to get the premium. Apart from that, anything, any gas that I am producing, I can sell it to customers. Not just within Northeast, I can sell it to customers elsewhere also. Now when it goes to customers located in other parts of the country, who is the who will help me fix the price? It is only igx.
So whatever igx, the price at which gas will be traded at the, at the exchange, I will get that price irrespective of whether it is produced from nomination. Like suppose I am saying I have a few prenup exploration that development fields in the Northeast itself where the price is different because that’s not a nomination area. That price because your PNGRD notifies two prices. One is the nomination price, other is the other than nomination price. Even within Northeast as we speak I am getting A different price for gas produced say from my drock field. So wherever there are dsa, I am having DSF filled in the northeast.
And some of the fields will soon be monetized. Once those fields are monetized, the pricing is not dependent on whatever is there in the notification that. I mean there is a notification but that’s a different price. That’s a higher price. So the point trying to make is that through well interventions if you are increasing your production, you will get the premium only if you supply it to CGD first. Maybe after that there are other companies. Maybe third or fourth in the order is the refinery. Refinery is already there now. Our point is that since refinery for the refinery to finally get commissioned and finally operate at its full potential, it will take some time.
Till such time, let us. I mean till CGD’s would for the CGD’s to come up, it will take some time. Refinery is going to be commissioned by end of this year. So let us allow. Let us be permitted to supply gas to the refinery at the premium.
Nitin Tiwari
Okay?
Abhijit Majumder
We are not kind of compromising on the premium. If the gas is produced through oil intervention or through world cover operations. The premium that we are entitled to, we must get even from the refinery. But now that refinery is over in the list. We are requesting the government to let us allow supply to the refinery till the cgds come up. Does that. I mean.
Nitin Tiwari
Got it. Understood. Thanks. Thanks for that.
operator
Thank you. Ladies and gentlemen. In order to ensure that the management is able to take questions from all participants in the conference, please restrict yourself to only one question per participant. Should you have a follow up question, we request you to rejoin the queue. We have our next question from the line of Hardik Solanki from ICICI Securities. Please go ahead.
Hardik Solanki
Hi sir. Thanks for the opportunity. So if. If you look at the consolidated numbers, your profit from the associates and JV as you know have jumped sharply to 724 crore. If you look at the year, year over year and quarter on. So can you just break down among the subsidiaries or the JVs where the. You know these properties flowing from?
Abhijit Das
You have seen that our path in. The standalone is 813 and the consolidated is 2046. We have subsidiary, associate and joint ventures, both domestic as well as foreign. The major amount which has been contributed by our material subsidiary for increasing the Group PAT is 544 crores from NRL as compared to 450 crores in the previous year. The major profit share of profit which has came from our Russian investment as I already mentioned in my opening remarks is that in previous year we had 150 crores of rupee and the current year it is 780. This makes the major difference between our group performance as compared to the previous year.
Hardik Solanki
Yeah, thanks, thanks, that’s very helpful.
Abhijit Das
40 crore and 780 crore from these two companies. One is our Russian investment of 780 and 544 from our material subsidiary.
operator
Thank you. We have a follow up question from the line of Somaya from EV Industry Spark. Please go ahead.
Somaiah
Thanks for the opportunity again. Sir. Sir, in terms of this Russian assets dividend payment from tas, this is a annual payment that we have received for the previous calendar year. That is one. And with respect to last year. And. With respect to last year, this number being lower, is it more to do with the payment ratio or to do the, you know, performance in the previous year? That is with respect to tax and Vancouver left in general, what is the dividend, you know, that we can expect in a year? So based on last one or two years, what we have seen as a president.
Unidentified Speaker
See as far as the TA project is concerned, I’ll give a rough number in the last two years. In 2023 we received an amount of 51.5 million USD equivalent of dividend inflow that is corresponding to the share of Oil India stake in that project. That number went up to 70 million USD in 24 and in 25. As of now I have received around 17 million USD of dividend and we expect that, you know, the amount of dividend that we have received last year will almost receive that. To that extent will receive, you know, a similar dividend is expected.
However, it is conditional upon the geopolitical situation and how the price is moving going forward. So this is about us. And as far as the banker is concerned, banker asset has given us a dividend of 37 million USD in 23 and that has gone up to 39.6 or 40 million, close to 40 million approximately in 2024 during the current year of 2025. Now we have received so far 11.2 million USD from the Banker asset and we expect the trend to continue for the current year also.
Somaiah
Thank you sir. Quite helpful. Sir, if you could just help us with the connected numbers at NRM and the excise duty hike that was taken, you know, last quarter. So we have that benefit in NR.
Unidentified Speaker
Yeah. So with regard to excise duty, on 7th of April, the excise duty rates. Increased by rupees 2 which has benefited. By rupees 1 in our rupees, 1 per liter for both Ms. And HSD for NRL in the first quarter our Northeast, the impact of the increase in excise duty has been 118crores in our profit margins.
Somaiah
Thank you.
operator
Thank you. We have our next question from the line of Vivekanand from Ambit Capital. Please go ahead.
Vivekanand Subbaraman
Yeah, thanks for the follow on opportunity. My question is on the gas output. You mentioned that there were certain constraints you faced in stepping up gas output because of maintenance of NRL and also some shutdowns of the fertilizer and power plants. Was this unusual or was it similar to the shutdowns that happened last year? And on a related note, is that now when you have given a guidance for the rest of the fiscal, rest of the fiscal year which implies a healthy growth in gas output, what gives you the confidence of getting. Getting that output? Thank you.
Unidentified Speaker
This is not unusual. This is usual. This is the manual maintenance or breakdown maintenance work they are doing. So this is natural. And regarding evacuation, that once that DNPL line is completed then this type of problem will be resolved and they got the connectivity with iggl.
Vivekanand Subbaraman
Okay, thank you very much.
operator
Thank you. As there are no further questions from the participants, I now hand the conference over to Mr. Vartharajan from Antique Stock Broking for closing remarks. Over to you, sir.
Varatharajan Sivasankaran
Thank you. Mano sir, if you have any closing numbers, please go ahead.
operator
Sir, any closing remarks?
Abhijit Majumder
Who are you expecting it from? From Oil India?
Varatharajan Sivasankaran
Yes, please.
Abhijit Majumder
No. I would like to thank all the participants for their. I mean for very insightful questions and I hope that we have had a nice interaction with the participants and thank you so much. Thank you. Ambitious for organizing this. Antique for organizing this.
Varatharajan Sivasankaran
Thanks all the participants and thank the management for patiently answering all these questions. Have a nice day.
operator
Thank you, sir.
Abhijit Das
Thank you.
operator
On behalf of Antique Stockbroking and Oil India Ltd. That concludes this conference. Thank you for joining us. And you may now disconnect your lines.
Abhijit Majumder
Thank you. Sa.