Jefferies says OMC losses narrow as crude eases, but remain high
In short
Jefferies said oil marketing companies are still losing money on petrol and diesel, even though crude prices have come down.
The report puts the losses at about ₹12 per litre on petrol and ₹27 per litre on diesel. That means fuel sellers are still under pressure, even if the situation has improved a little.
What the reporting says
Jefferies said oil marketing companies continue to incur losses on petrol and diesel sales, even as pressure eased after crude oil prices declined. The report says losses still stand at about ₹12 per litre on petrol and ₹27 per litre on diesel. The note points to improved conditions for OMCs, but they remain under strain from fuel under-recoveries.
Why it matters
Jefferies said losses for oil marketing companies have narrowed after a drop in crude oil prices, but the companies are still selling petrol and diesel below cost. The report places the losses at roughly ₹12 a litre for petrol and ₹27 a litre for diesel. That matters for OMC margins, fuel pricing pressure, and the broader energy and refining complex.