OIL retains high credit ranking for its debt instruments

New Delhi, June 15 (UNI) Public sector major Oil India Ltd (OIL) today retained its LAAA rating assigned to the Rs 5,000 crore Long Term Debt Programme and A1+ rating to the Rs 5,000 crore Short Term Debt Programme.

The LAAA rating of the the investment information and credit rating agenct ICRA, indicates highest credit quality in the long term and A1+ rating in the short term.

The ratings reflect OIL's strong operating performance as reflected in its competitive cost structure and favorable reserve replacement track record, said a statement.

The ratings were also affected by OIL's financial risk profile characterised by robust profitability, low gearing and large liquid investments, sovereign ownership as well as its strategic importance to the country's energy security.

The ratings also factor in the favourable outlook for global crude oil prices and the likely upside from phased deregulation of natural gas prices.

UNI