Cairn India Q2 net plunges 70 percent on lower oil price

New Delhi, Oct 21 (IANS) Energy major Cairn India on Wednesday reported a 70 percent fall in net profit at Rs.673 crore in the second quarter ended in September, owing to falling global oil prices.

The company posted a net profit of Rs.2,278 crore in the same quarter of the previous fiscal.

Cairn’s net revenue declined 44 percent to Rs.2,242 in the quarter in question, Cairn India said in a stock exchange filing.

The company got $43.7 per barrel for oil it sold in the second quarter, which was 53 percent lower than the $92.1 a barrel it realised a year ago.

Crude oil prices have fallen by close to 60 percent over the last one year to $45-47 per barrel, from levels of over $100.

“We have responded by recommitting our efforts to drive down costs and focus on adopting advanced technologies to improve our efficiencies and productivity,” said Cairn India chief executive Mayank Ashar.

Cairn said oil production from its Rajasthan block was up by three percent at 168,126 barrels per day.

The Cairn India stock closed on Wednesday at Rs.154.05 a share, up 0.10 points, or 0.06 percent on the Bombay Stock Exchange.

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