Uzbekneftegaz loses $212M due to low price gasoline sales
Baku, Azerbaijan, August 2
By Fakhri Vakilov - Trend:
Uzbekneftegaz JSC reported a loss of 1.8 trillion soums (about $212 million) due to the sale of gasoline at a low price, Trend reports citing Podrobno.uz.
"The current prices for gasoline - 4,000 soums per liter and diesel fuel - 4,800 soums - were calculated and set from November 1, 2018, when the price of Brent oil on the world market was $ 58 per barrel. Today, the price of this oil has exceeded $60," Deputy Chairman of the Board of Uzbekneftegaz Ulugbek Ashurov said.
He stated that the prices of petroleum products are formed from the actual costs associated with their production and sale. The main share of costs (75-80 percent) accounts for the cost of hydrocarbons. Since the beginning of the year, there has been an increase in world prices for hydrocarbon raw materials, which negatively affected the economic situation of refineries and the industry as a whole.
"Today, the necessary selling price is: gasoline - 4,602 soums / liter (loss - 600 soums / liter, or 884 billion soums in 2019), diesel fuel - 6,014 soums / liter (loss - 1,214 soums / liter, or 951 billion soums in 2019), "he noted.
Ashurov also added that according to the balance of production of petroleum products in 2019, refineries are planning to purchase hydrocarbons from local suppliers, as well as imports of hydrocarbons, the specific weight of which will be 45.7 percent. Due to the shortage of own funds, the short supply will be about 56.2 percent.
"This, in turn, will lead to the risk of undersupply of raw materials for the production of petroleum products and, as a result, to a disruption in the supply of petroleum products to the population and industries, especially during the spring agrotechnical measures,” he stressed.
He also noted that considering the current situation, in order to ensure uninterrupted supply of petroleum products to consumers of Uzbekistan, as well as improve the financial condition of the enterprises of Uznefteprodukt JSC, from August 15, 2019, gasoline and diesel fuel will be sold at new prices.
Moreover, Ashurov stressed that the prices for automobile fuel are lower than in other CIS countries in Uzbekistan, including exporting countries (Russia and Kazakhstan). The price of a liter of diesel fuel in Uzbekistan is set at $0.57, in Russia - $0.71, in Kazakhstan - $0.5, in Kyrgyzstan - $0.63, in Tajikistan - $0.83. A liter of gasoline in Uzbekistan costs $0.47, in Russia - $0.59, in Kazakhstan - $0.4, in Kyrgyzstan - $0.59, in Tajikistan - $0.81.
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