Petroleum Sales Rise 3% in December 2024

Pakistan’s Oil Marketing Companies (OMCs) recorded sales of 1.28 million tons in December 2024. This represents a 3 percent YoY increase, driven by lower petroleum product prices, macroeconomic stabilization, and a decline in smuggling, Topline Securities said in a report. Total sales for 1HFY25 totaled 8 million tons, a 4 percent YoY rise compared to 7.7 million tons in 1HFY24. Excluding Furnace Oil (FO) sales in December 2024 were 1.2 million tons, reflecting a 7 percent YoY rise while a 20 percent MoM decline. For 1HFY25, Ex-FO sales totaled 7.7 million tons, an 8 percent YoY rise. Motor Spirit (MS) sales saw a 1 percent YoY and 15 percent MoM decline to 566k tons in Dec 2024. This was primarily due to the onset of the winter season which generally reduces economic activity on a sequential basis. High-speed diesel (HSD) sales rise 12 percent YoY while down 27 percent MoM to 573K tons. The YoY growth was driven by reduced prices. FO sales for December 2024 fell by 48 percent YoY while up 12 percent MoM to 41K tons. Among the listed entities, Attock Petroleum (APL) sales clocked in at 111K tons in December 2024, a 14 percent YoY and 15 percent MoM decline primarily driven by 89 percent YoY and 62 percent MoM fall in FO sales. APL has a market share of 8.71 percent in MS and 9.48 percent in HSD, up 75bps and 96bps respectively from November 2024. Pakistan State Oil (PSO) saw a fall of 4 percent YoY and 28 percent MoM to 572K tons in December 2024. PSO’s market share in HSD and MS clocked in at 45.99 percent and 40.54 percent, down 845bps and 409bps MoM, respectively in December 2024. PSO’s overall market share has fallen from 51 percent in November 2024 to 459 percent in December 2024 primarily led by a decrease in HSD market share. Shell Pakistan (SHEL) saw a 59 percent YoY rise but an 8 percent MoM fall to 95K tons. HASCOL sales clocked in at 43k tons, up 59 percent YoY and 25 percent MoM. The goverment has set a Petroleum Development Levy (PDL) collection target of Rs. 1.28 trillion for FY25 of which Rs. 557 billion (43 percent) has been collected in 1HFY25