Furnace Oil Sales Surge 406% YoY in July as Power Sector Shifts Back to FO

KARACHI: Furnace oil sales saw a massive spike in July 2026, driven by increased use in power generation amid high RLNG costs and gas shortages, data from the Oil Companies Advisory Council showed.

Total FO sales jumped 89% month-on-month to 0.08 million tons in Jul-26 from 0.04 mn tons in Jun-26, and surged 406% year-on-year from 0.02 mn tons in Jul-25.

Industry-wide oil sales rose 20% MoM to 1.51 mn tons. PSO led with 33% MoM growth, while APL recorded a 272% MoM jump in FO. The sharp rise reflects power producers switching back to furnace oil as the cheaper alternative to imported LNG.