Calcutta, Aug 4 (PTI): Haldia Petrochemicals Ltd (HPL) is eyeing earning a cash profit during July and August this year in the backdrop of improved market conditions.
HPL Managing Director Sumantra Chowdhury said during July, operating profit of the company would be Rs 38 crore, while that for during the current month was projected at Rs 67 crore.
During the period from January 2012 till date, the average polymer prices were ruling higher than the price of the most crucial raw material, naphtha, he told reporters here on Saturday.
The trend is likely to continue for the next two years and HPL would have full advantage of that, he added.
Talking about fund crunch faced by the company, he said that it has approached the banks for Rs 600 crore as loan and Rs 400 crore as letters of credit (LCs).
The banks had already given LCs worth Rs 200 crore to HPL. Talks were on for the remaining Rs 200 crore.
The company, he said, was operating at 91 per cent capacity producing 240 tonnes per hour.
Chowdhury said HPL has also decided, subject to board approval, to go for product swap as a temporary financing option.
In the first quarter of 2012-13 and in 2011-12 HPL had incurred a cash loss of Rs 684 crore.