Pakistan oil sales in Jan-2022 increased by 19% YoY primarily driven by High Speed Diesel (HSD) demand which improves by 36% YoY. Excluding FO, same are expected to up by 26% YoY.
The increase in HSD volumes are largely attributable to surge in economic and trade activities, improvement in large scale manufacturing and better agronomics.
Similarly, Motor Spirit (MS) volumes increased by 17% YoY whereas Furnace Oil (FO) sales reported a decline of 11% YoY amidst high base. To recall, FO volumes increased in Jan-2021 due to high demand from power sector given gas shortages during winters.
While In 7MFY22, Oil sales are expected to grow by 15% YoY, where FO, HSD and MS volumes have increased by 13% YoY, 19% YoY, and 11% YoY respectively amidst improvement in economic activity and uptick in auto sales.
In Jan-2021, Pakistan State Oil’s (PSO) sales have increased the most by 24% YoY, (due to uptick in sales of HSD by 64% YoY), while Attock Petroleum (APL ) and Shell Pakistan’s (SHEL) sales improved by 20% YoY and 11% YoY, respectively.
Hascol Petroleum (HASCOL) posted a decline in oil sales by 57%. Whereas, HASCOL lost its market share from 7% in Jan-2021 to 3% in Jan-2022 as sales in all segments reported decline.