Price of petrol, diesel may go up by Rs 5-6 in next 15 days: Report

Price of petrol, diesel may go up by Rs 5-6 in next 15 days: Report
The hike in retail prices will be in light of the sharp rise in international crude oil prices following a drone attack on Saudi Aramco, the second-largest oil producer in the world (Representational Image)

The prices of petrol and diesel in India may shoot up by Rs 5 to 6 a litre in next fortnight following the largest ever-disruption of crude production in Saudi Arabia.

In light of the sharp rise in international crude oil prices, Indian oil marketing companies (OMCs) may increase the retail price of diesel and gasoline by Rs 5 to 6 per litre in the following fortnight, said a recent report by Kotak Institutional Equities.

On Monday, oil prices soared as much as 20 percent to above $71 a barrel as markets reopened after a major attack on Saudi Arabia’s oil infrastructure.

The drone attack immediately erased out 5.7 million barrels. “These attacks resulted in production suspension of 5.7 million barrels of crude oil per day,” Saudi Aramco said in a statement.

As expected, the crude oil prices began to increase on Tuesday, with petrol becoming dearer by 14 paise and diesel costing 16 paise more in Mumbai. As of today morning, petrol cost in the city stands at Rs 77.85 and diesel at Rs 68.78.

Oil prices, experts said, could spike in the next several days as a result of the attack on Saudi Aramco, the second-largest oil producer in the world.

The drone attacks claimed by Yemen’s Houthi rebels set alight two major oil facilities run by Aramco on Saturday, the Kingdom’s Interior Ministry said.

The Saudi Press Agency, citing a statement by the Ministry, said that the drones caused the fire at the refinery in the city of Abqaiq in the Kingdom’s oil-rich Eastern Province, as well as the blaze at the Khurais oil field, around 150 km from Riyadh.

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