NEW DELHI: State-owned Oil and Natural Gas Corporation (ONGC) on Sunday reported 14 per cent drop in net profit for the third quarter ended December 31 as oil and gas prices fell.

Standalone net profit of Rs 9,536 crore in October-December 2023 (third quarter of 2023-24 fiscal year) was 13.7 per cent lower than Rs 11,045 crore earning in the same period of previous financial year, the company said in a statement.

The earning was lower as price realised for crude oil the firm produced and sold in the quarter fell 6.4 per cent to USD 81.59 per barrel. 

Also contributing to lower profit was a decline in production of crude oil, which is converted into fuel like petrol and diesel at refineries, and natural gas which is used to generate electricity, produce fertilizer, turned into CNG and piped to kitchens for cooking.

Crude oil production dropped 3.3 per cent to 5.22 million tonne while gas output was 4.3 per cent lower at 5.12 billion cubic meters.