Thailand: Bangchak & Thai Oil Post Increased Quarterly Profits

  The net profit during April-June represented a 109.63 per cent increase from Bt880.6 million in the same period last year. In the first six months, Bangchak's net profit also rose sharply from Bt838.7 million to Bt2.7 billion.

 In the statement to the Stock Exchange of Thailand, the oil company attributed the increase to the skyrocketing oil prices, which boosted refineries' profits from their inventories. The average crude oil in the second quarter stood at US$116.59 per barrel, 79.9 per cent higher than the same period last year and 28 per cent higher than the first quarter.

 In the quarter, its refining margin excluding gains from inventory stood at $7.97 per barrel or Bt1.63 million.

 Thai Oil Plc earlier announced the second-quarter net profit of Bt10.5 billion, up Bt3.9 billion or 59.33 per cent from the same period last year, due mainly to higher oil prices and higher capacity. In the quarter, Thai Oil saw an increase in refining capacity by 50,000 barrels per day to 288,000 barrels.

  Viroj Mavichak, managing director of Thailand's largest oil refining company, said due to higher oil prices, the integrated margin excluding inventory cost stood at US$12 per barrel or Bt2.50 per litre, compared to $10.4 a barrel or Bt2.30 per litre in the same period last year.

 He attributed the high margin to high demand for jet fuel, kerosene and diesel against limited refining capacity, plus demand for heating oil as well as diesel ahead of the Olympic Games in China.

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