Total Petroleum and Lubricant sales clocked-in at 1.96mn tons in Aug’21, depicting an increase of 26% YoY (ex- FO growth of 17% YoY) while down by 7% MoM amid decline in retail fuel sales due to lesser working days. The growth in sales volumes is primarily attributable to i) Surge in economic activity amid higher exports, imports and growth in large scale manufacturing on account of rising demand from both local and foreign consumers, ii) Agriculture crop season (Kharif) which resulted in higher sales volumes of HSD, iii) Robust growth in automobile sales numbers, iv) Rising tourism in Pakistan, and v) Higher reliance on FO-based power plants.

During 2MFY22, sales of total petroleum products increased by 21% YoY to 3.90mn tons vs. 3.22mn tons in SPLY.

Dissection of data revealed that double digit growth came from HSD and FO with offtake undergoing a jump to 1.39mn tons and 0.87mn tons (amid higher requirement from FO based power plants), up by 18% and 59% YoY against 1.18mn tons and 0.55mn tons in SPLY, respectively. Likewise, MS sales also went up by 9% YoY to 1.55mn tons.

Courteys- AHL Research