KARACHI: Refinery product offtake declined 8.1 per cent year-on-year (YoY) in June 2026, primarily due to a sharp contraction in demand for high-speed diesel (HSD) and furnace oil (FO), while refinery production continued to rise, leading to higher inventory accumulation.
HSD sales fell 16 per cent YoY to 423,000 tonnes, reflecting lower procurement by oil marketing companies (OMCs) and a renewed increase in cross-border fuel smuggling amid elevated domestic diesel prices. The average ex-refinery HSD price stood at Rs347 per litre in June, up 37.1 per cent from a year earlier.
Motor spirit (MS), however, remained resilient, with sales rising 13.3 per cent YoY to 244,000 tonnes.For FY2026, total refinery product offtake reached 10.9 million tonnes, marking an 8.6 per cent YoY increase, supported by stronger demand for MS and HSD, whose sales rose 11 per cent and 13.6 per cent, respectively.
Attock Refinery Limited (ATRL) posted a 6.0 per cent YoY increase in sales to 101,000 tonnes. MS sales surged 36.8 per cent to 45,000 tonnes, while HSD sales rose 8.6 per cent, supported by improved crude receipts and fewer supply disruptions. However, ATRL’s market share eased to 11.5 per cent, below its historical average of 13.6 per cent.
Pakistan Refinery Limited (PRL) reported a 22.3 per cent YoY decline in sales to 100,000 tonnes, as HSD volumes fell 10.3 per cent and FO sales plunged 90 per cent.National Refinery Limited (NRL) recorded sales of 105,000 tonnes, down 12.4 per cent year-on-year, mainly due to lower MS and HSD volumes, which declined 7.7 per cent and 23.5 per cent, respectively.
In contrast, Cnergyico PK Limited (CNERGY) delivered the strongest performance, with sales rising 12.4 per cent YoY to 161,000 tonnes, driven by a 66.9 per cent increase in MS sales and a 23.7 per cent rise in HSD volumes.
Despite softer demand, Pakistan’s refinery production increased 5.8 per cent year-on-year to 927,000 tonnes in June, led by an 8.1 per cent rise in MS output to 492,000 tonnes and a 3.1 per cent increase in FO production to 191,000 tonnes. The combination of higher production and weaker HSD sales likely contributed to a build-up in refinery inventories.
The refining industry operated at a utilisation rate of 54.2 per cent in June 2026, compared with 59.2 per cent in May 2026 and 51.3 per cent in June 2025.Among individual refiners, PRL recorded the highest utilisation rate at 71.6 per cent, followed by ATRL at 56.3 per cent and NRL at 34.2 per cent, while CNERGY reported the lowest utilisation rate at 28.8 per cent.
