OMCs gains as petrol and diesel prices are hiked

NEW DELHI: Shares of oil marketing companies such as Hindustan Petroleum, IndianOil and others closed higher after surging up to 3 per cent on the BSE, after they hiked petrol and diesel prices with effect from Tuesday.

Petrol prices were hiked by Rs 2.11 per litre while diesel prices were raised by 98 paise on distributing counters in Delhi. Reacting to the development, scrips of HPCL closed 0.86 per cent, Indian Oil (down 0.10 per cent) and BPCL (up 0.17 per cent). The BSE Oil & Gas index closed lower 0.26 per cent in trade.

"The current level of international prices of petrol and diesel and the rupee-US dollar exchange rate warrant an increase in petrol and diesel prices, the impact of which is being passed on to consumers with this price revision," IOC said in a statement.

While this is the second straight increase in petrol price, this is the fourth straight fortnightly increase in diesel prices. The three diesel price hikes since February 16 totalled Rs 3.65 a litre.