Shares of oil marketing companies (OMCs) were trading firm on Monday after petrol and diesel prices were hiked by 60 paise per litre for a second straight day, thus ending an 83-day hiatus in rate revision.

Petrol price in Delhi was hiked to Rs 72.46 per litre from Rs 71.86 on Sunday, while diesel rates were increased to Rs 70.59 a litre from Rs 69.99, according to a price notification of state oil marketing companies.

Daily price revision has restarted, an oil company official said.

While oil PSUs have regularly revised ATF and LPG prices, they had since March 16 kept petrol and diesel prices on hold, ostensibly on account of extreme volatility in the international oil markets.

Auto fuel prices were frozen soon after the government raised excise duty on petrol and diesel by Rs 3 per litre each to mop up gains arising from falling international rates.

At 10:20 am, Indian Oil Corporation (IOC) was trading nearly 6 per cent higher at Rs 94.75 apiece on the BSE. The stock hit a high of Rs 96.25 so far during the session against Friday's close of Rs 89.45. IOC had hit a 52-week high of Rs 164.50 on the BSE on June 7, 2019. Its 52-week low stands at Rs 71.15, hit on May 15 this year.

Bharat Petroleum Corporation Limited (BPCL) was quoting 5.6 per cent higher at Rs 390.55 while Hindustan Petroleum Corporation Limited (HPCL) was up 7.55 per cent at Rs 220 on the BSE. In comparison, the S&P BSE Sensex was trading 541 points or 1.6 per cent higher at 34,828.05.

Indian Oil Corp (IOC), the nation's largest oil firm, has said that Unlock 1.0 will revive fuel sales soon, owing to the resumption of economic activities. The company said though it is on track to spend the approved capital expenditure for 2020-21, it has "critically examined all capex proposals for rationalisation of cost and time frame." "The company is also conscious of the costs and has also undertaken rationalisation measures in this direction," it said without giving details. READ MORE

Meanwhile, OPEC, Russia and allies agreed on Saturday to extend record oil production cuts until the end of July, prolonging a deal that has helped crude prices double in the past two months by withdrawing almost 10 per cent of global supplies from the market.

ALSO READ: Opec, Russia meet to extend record oil supply cuts, push for compliance

OPEC+ had initially agreed in April that it would cut supply by 9.7 million barrels per day (bpd) during May-June to prop up prices that collapsed due to the coronavirus crisis. Those cuts were due to taper to 7.7 million bpd from July to December, according to a Reuters report.

Reacting to the news, oil prices rose more than 2 per cent in the early trade on Monday. Brent crude climbed to as high as $43.41 a barrel. US West Texas Intermediate (WTI) crude gained 83 cents, or 2.1 per cent, to $40.38 a barrel. Both hit their highest since March 6, the report said.