Review of National Refinery's quarterly report.

The financial statistics released during quarter closed September 30, 2020 by the financial experts of National Refinery Limited (NRL) showed that during the period, the company incurred a loss after tax of Rs. 1,311 million resulting in loss per share of Rs. 16.40 as against to loss after tax of Rs. 679 million which resulted in loss per share of Rs. 8.49 in the same period. The period witnessed a careful approach towards the revival of economic activity all over the world with a fear of a second wave of pandemic-Covid-19 spread with the onset of winters.

The condition severely affected refinery performance arising out of slim margins on Motor Gasoline and High Speed Diesel, while prices of Jet Fuels and Naphtha remained well below crude oil price. The throughput of Fuel segment remained 64 percent as against 62 percent in the corresponding period previous year. Under these challenging circumstances, the financial experts of the company also recorded that the fuel segment of the company incurred loss after tax of Rs. 1,150 million as against to loss after tax of Rs. 596 million in the corresponding period last year. Historically, NRL was incorporated on August 19, 1963 as a public limited company.

Government of Pakistan took over the management of NRL under the Economic Reforms Order, 1972 under the Ministry of Production, which was exercising control by its shareholding in State Petroleum Refining and Petrochemical Corporation (PERAC). Pakistan had decided to place the National Refinery Limited under the administrative control of Ministry of Petroleum and Natural Resources in November 1998. In June 2003 the government of Pakistan planned to include NRL in its privatisation programme.

The selling of 51 percent equity and transfer of management control to a strategic investor had been proposed accordingly, the due diligence process for the privatisation was initiated. After competitive bidding NRL was acquired by Attock Group in July 2005. The Company has been privatised and the management control handed over to the new owner Attock Group on July 7, 2005. The Management recorded that NRL is engaged in the manufacturing, production and sale of large range of petroleum products. The refinery complex of the Company comprises of three refineries i.e. two lube refineries and one fuel refinery having a total crude oil refining capacity of 24,570,000 Bbl per annum which corresponds to 70,000 Bbls/day. Two Lube refineries process reduced crude to...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT