The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Amit Rustagi - UBS Investment Bank, Research Division - Analyst
: Sir, could we understand that in this quarter, when we started April month, the oil prices were much lower. And now at the end of June, the oil
prices have already doubled to $42, $43. So still how come we are having inventory losses because some of the independent refiners have reported
the inventory gains for the quarter. That was my first question. If you can help me in understanding that.
Ashok Gupta;Chief Procurement Officer, Marketing
Most of the inventory of March '20, actually that we have valued last time also in the con call we have explained. March '20 inventory, most of the
inventory just cost only we have valued. If you see the marked inventory valuation is high as compared to the prices of April and May. Since the
actual production in April and May is very low. So March inventories have continued in the month of April, May and some part of June also. Only
the actual trend has reversed only in the month of June, that was a major reason still in this quarter that there are some inventory losses for the
same reason.
Question: Amit Rustagi - UBS Investment Bank, Research Division - Analyst
: Okay. And sir, could you help us in understanding the project updates. Particularly our polypropylene project in Kochi. And also, have we reached
to the maximum possible hybrid grade of crudes in our crude slate? Or you think still more optimization can be done from here?
Question: Amit Rustagi - UBS Investment Bank, Research Division - Analyst
: Yes, hybrid grade of crude. Yes.
Question: Amit Rustagi - UBS Investment Bank, Research Division - Analyst
: As on date. Okay. Okay.
Question: Avadhoot Sabnis - CIMB Research - Analyst
: Firstly, just a clarification. The government subsidy bill as on June '20, did I get the number right? Is this INR 4,800 crores?
Question: Avadhoot Sabnis - CIMB Research - Analyst
: Okay. And that was -- it was INR 4,800 crores as on March, right?
Question: Avadhoot Sabnis - CIMB Research - Analyst
: INR 6,000 crores in March.
Question: Avadhoot Sabnis - CIMB Research - Analyst
: Okay. And on the existing petchem project at Kochi, the PDP one, could you give a status on that? Because we are supposed to complete it now?
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AUGUST 14, 2020 / 5:30AM, BPCL.NS - Q1 2021 Bharat Petroleum Corporation Ltd Earnings Call
Question: Avadhoot Sabnis - CIMB Research - Analyst
: Yes. But I mean, as of now, any guideline at all? Are you looking at, let's say, the October, December quarter or even beyond that?
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