Reliance posts soaring profit despite oil fall

 
City A.M. Reporter
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AN conglomerate Reliance Industries yesterday posted a 32 per cent rise in quarterly profit, as higher margins at its core oil refining business offset falling oil and gas revenues.

Reliance, which owns the world’s biggest refining complex in western India, said revenues fell 1.4 per cent to 866bn rupees (£968m), as oil and gas revenue was down nearly 39 per cent in the quarter.

For the full fiscal year, gas output at a key Krishna Godavari (KG) basin offshore field fell 39 per cent.

The company and its partner, BP, said in February they jointly plan to invest more than $5bn over the next three to five years to boost production at the D6 block in the KG basin.

Reliance said net profit in its fiscal fourth quarter which ended on 31 March rose 32 per cent from a year earlier to 55.89bn rupees

The company, controlled by India’s richest man, Mukesh Ambani, is widely expected to launch 4G telecom services later this year.