For the Year Ended 31st March, 2011
 
 1.  Contingent Liabilities:
 
 a) Contingent Liabilities amounting to Rs. 7,820.86 crore (2010: Rs.
 6965.88 crore) are as under :
 
 i) Rs. 238.02 crore (2010: Rs. 288.02 crore) being the demands raised by
 the Central Excise /Customs authorities.
 
 ii) Rs. 5,045.52 crore (2010: Rs. 4983.51 crore) in respect of Sales Tax
 demands.
 
 iii) Rs. 736.79 crore (2010: Rs. 630.41 crore) including Rs. 503.98 crore
 (2010: Rs. 446.57 crore) on account of Projects for which suits have been
 filed in the Courts or cases are lying with Arbitrator.
 
 iv) Rs. 1,167.75 crore (2010: Rs. 668.94 crore) in respect of Income Tax
 demands.
 
 v) Rs. 632.78 crore (2010: Rs. 395.00 crore) in respect of other claims.
 
 The Company has not considered those disputed demands/claims as
 contingent liabilities, the outflow of resources for which would be
 remote.
 
 b) Interest/Penalty, if any, on some of the above claims is
 unascertainable.
 
 c) Pending decision of the Government, no liability could be determined
 and provided for in respect of additional compensation, if any, payable
 to the land owners and the Government for certain lands acquired.
 
 d) The Company has issued Corporate Guarantee in favor of three
 beneficiaries i.e. Bolivarian Republic of Venezuela (Republic), The
 Corporacion Venezolana del Petroleo S. A. and the Mixed Company
 Venezuela (PeTroCarabobo S.A.), on behalf of Indoil Netherlands B.V.
 Netherlands (an associate company) to fulfill the associate company''s
 future obligations for payment of signature bonus/equity contribution/
 loan to the beneficiaries.  The estimated amount of such obligation is
 Rs. 1,812.95 crore-USD 406.49 million (2010 : Rs. 1,903.76 crore- USD 424
 million)
 
 e) The Company has issued corporate guarantee in favor of Standard
 Chartered Bank, on behalf of Lanka IOC PLC, subsidiary of the company,
 for raising a loan of Rs. 133.80 crore- USD 30 million (2010 : Rs. 224.50
 crore - USD 50 million).
 
 2.  Estimated amount of contracts remaining to be executed on Capital
 Account not provided for Rs. 21,737.72 crore (2010: Rs. 16,620.93 crore).
 
 3.  Purchase of crude oil from ONGC, Oil India Limited and Panna Mukta
 Tapti JV and some other oilfields has been accounted for provisionally,
 pending finalization of agreements with respective parties.
 Adjustments, if any, will be made on finalization of agreements.
 
 4.  Title Deeds for Land and residential apartments as also lease and
 other agreements in respect of certain lands/buildings, the book value
 of which is Rs. 139.08 crore (2010: Rs. 217.56 crore), are pending for
 execution or renewal.
 
 5. Transactions with other Oil Marketing Companies are jointly
 reconciled on an ongoing basis.
 
 6.  Pursuant to orders pronounced by the Honorable Supreme Court /
 various High Courts in the matter of Entry Tax on Crude Oil, HSD &
 Lubricants and as advised, the Company has not provided for Entry Tax
 amounting to Rs. 5,106.43 crore (2010: Rs. 3,743.19 crore) including Rs.
 1,363.24 crore for the year (2010: Rs. 1,084.42 crore) in respect of
 Mathura & Panipat Refineries, Mundra- Panipat & Salaya Mathura
 Pipelines and Asaouti Lube Blending Plant. Pending final disposal of
 the matter by the Honorable Supreme Court / various High Courts, Entry
 Tax already paid / deposited / provided for at various units has not
 been considered for write back.
 
 7.  Subsidies on sales of SKO (PDS) and LPG (Domestic) in India
 amounting to Rs. 1,640.92 crore (2010: Rs. 1,595.82 crore) and subsidies on
 sales of SKO and LPG to customers in Bhutan amounting to Rs. 35.74 crore
 (2010: Rs. 27.27 crore) have been reckoned as per the schemes notified by
 Government of India.
 
 8.  The company has accounted for Budgetary Support of Rs. 22,604.84
 crore (2010: Rs. 15,171.84 crore) towards under-recovery on sale of MS
 (upto 25th June 2010), HSD, SKO (PDS) and LPG (Domestic) for 2010-11 in
 the Profit and Loss Account as Revenue Grants. Out of this Rs. 10,942.44
 crore (2010: Rs. 8,071.66 crore) has been accounted for based on the
 advice from Government of India, pending receipt of compensation.
 
 9.  In line with the scheme formulated by Petroleum Planning and
 Analysis Cell (PPAC), the Company has received during the year,
 discounts of Rs. 15,879.34 crore (2010: Rs. 6,960.91 crore) on Crude
 Oil/Products purchased from ONGC/GAIL/OIL and Rs. 824.39 crore (2010: Rs.
 587.38 crore) from CPCL, through sale of HSD to IOC, out of their
 purchase of crude oil from ONGC, towards part of the under recovery
 suffered on sale of MS (upto 25th June 2010), HSD, SKO (PDS) and LPG
 (Domestic) and the same has been adjusted against the purchase cost.
 
 10.The Company has an export obligation to the extent of Rs. 3,677.09
 crore (2010: Rs. 1,743.84 crore) on account of concessional rate of
 customs duty availed under EPCG license scheme on import of capital
 goods.
 
 11.In the absence of relevant notification by the Government of India
 specifying the period and applicable rate at which cess on turnover is
 payable under section 441A of the Companies Act, 1956, the same is not
 determinable and hence, not provided for.
 
 12.The accounting policy regarding expenditure during the construction
 period of projects on assets not owned by the company has been revised
 as per the opinion of the Expert Advisory Committee of ICAI received
 during the year which states that such expenditure should be charged to
 revenue at the time of incurrence instead of charging the same in the
 year of capitalization of the projects. This change has resulted in
 decrease in Profit by Rs.57.06 crore for the year (including Rs. 42.24
 crore charged to prior period expenses).
 
 13.Company had a superannuation pension scheme primarily funded by
 employees. In line with DPE guidel ines, the existing scheme has been
 modified to be defined contributory scheme with effect from 1st
 January'' 2007.  Therefore, based on actuarial valuation, the Company
 has contributed Rs.1067.81 crore, being the deficit assessed in the
 funds of the existing Scheme as on 31st December 2006, to meet fund''s
 obligations. A sum of Rs.59 crore being interest portion up to the date
 of contribution has also been contributed in the modified scheme. X
 439.81 crore provided for in 2009-10 towards superannuation benefits
 under existing scheme have been reversed during the year resulting into
 one time net impact (before tax) of Rs. 687 crore on the Profit & Loss
 Account for the current year.
 
 14.Disclosure in compliance with Accounting Standard-15 (Revised 2005)
 on Employee Benefits is given in Annexure-1.
 
 15.In compliance with Accounting Standard-17 on Segment Reporting,
 the required information is given in Annexure-2 to this schedule.
 
 16.In compliance of Accounting Standard - 18 on Related Party
 Disclosures, the required information is given in Annexure-3 to this
 schedule.
 
 17.Disclosure as required under Accounting Standard - 19 on Leases:
 
 18. In compliance of Accounting Standard – 27 on Financial Reporting
 of Interest in Joint Ventures the required information is given in
 Annexure-4 to this schedule.
 
 19. Considering the Government polices and modalities of compensating
 the oil marketing companies towards under-recoveries, future cash flows
 have been worked out based on desired margins for deciding on
 impairment of related Cash Generating Units. In view of the assumption
 being technical, peculiar to the industry and policy matter, the
 auditors have relied on the same.
 
 20. In compliance of amended clause 32 of the Listing Agreement with
 the Stock Exchanges, the required information is given in Annexure-5 to
 this schedule.
 
 21.  Exposures to Financial and Commodity Trading Derivative
 Instruments outstanding as on 31st March, 2011 is given in Annexure-6
 to this schedule.  In addition, Whole-time Directors are also allowed
 the use of Company''s car for private purposes upto 12,000 KMs per annum
 on a payment of Rs. 520 per mensem for car of less than 16 hp or Rs. 780
 per mensem for car of above 16 hp as specified in the terms of
 appointment.
 
 22.  Duties (Net) shown under the Expenditure in Profit and Loss
 Account includes an amount of Rs. 349.94 crore (2010 : Rs. 43.03 Crore) on
 account of difference of Excise Duty between opening and closing stock
 of finished goods.
 
 23.  In respect of Oil and Gas Exploration activities, Revenue
 Expenditure amounting to Rs. 333.44 crore (2010 : Rs. 139.11 crore) and
 Capital Expenditure amounting to Rs. 19.80 crore (2010 : Rs. 42.16 crore)
 of Oil and Gas Exploration Projects have been incorporated in these
 accounts on the basis of unaudited statements provided by respective
 operators of Production Sharing Contracts to the Company.
 
 24.  Capital Expenditure amounting to Rs. 195.41 crore (2010 : Rs. 328.28
 crore) relating to ongoing Oil & Gas Exploration activities is
 appearing as Capital Work in Progress in accounts, which may have to be
 charged as expense in case any of the blocks is decided as Dry.
 
 25.  Research and Development Expenses of Rs. 77.06 crore (2010 : Rs. 80.92
 crore) have been capitalized and Rs. 131.54 crore (2010 : Rs.162.42 crore)
 have been accounted for in Profit and Loss Account during the year.
 Detailed break up of total expenditure has been given in Annexure - 7.
 
 26.  Pending finalization of third party claims arising out of Fire
 incident on 29th October 2009 at Jaipur terminal, no provision has been
 made in the books (being unascertainable at this stage) except for X
 0.25 crore (2010 : Rs. 51.89 crore) provisionally paid /provided by the
 Company and charged to P&L account.
 
 27.  Provision for income tax for the current year has been made in
 terms of section 115 JB (MAT) of the Income Tax Act, 1961. Tax credit
 has been accounted as per provisions of section 115 JAA.
 
 28.  The Profit and Loss Account includes :
 
 a) Expenditure on Public Relations and Publicity amounting to Rs. 39.40
 crore (2010: Rs. 31.44 crore) which is inclusive of X12.34 crore (2010:
 X10.06 crore) on account of Staff and Establishment and Rs. 27.06 crore
 (2010: Rs. 21.38 crore) for payment to others. The ratio of annual
 expenditure on Public Relations and Publicity to the annual turnover
 (inclusive of excise duty) is 0.00012:1 (2010: 0.00012:1).
 
 b) Entertainment Expenses Rs. 2.34 crore (2010:Rs. 2.23 crore).
 
 29.  Previous year''s comparative figures have been regrouped and recast
 to the extent practicable, wherever necessary. Figures in brackets
 indicate deductions.
 
 (A) PROVIDENT FUND
 
 (i) The Company has five Provident Funds maintained by respective PF
 Trusts.  All these five PF Trusts do not have any shortfall as on
 31.03.2010. However, due to payment of higher interest @ 9.5% as
 against 8.5%. for the year 2010-11, two PF trusts have reported net
 deficit of Rs. 1.03 crore and the same has been contributed and charged
 to profit & loss account.
 
 (ii) During the year, Company has conducted Actuarial Valuation of all
 five PF Trusts. As per Actuarial Valuation, one of the Trust has a net
 deficit of Rs. 3.28 crore as on 31st March 2011 and the same has been
 provided for in the P&L Account. The other four PF Trusts do not have
 any deficit as on 31st March 2011. Accordingly, other related
 disclosures in respect of Provident Fund have not been made.
 
 (iii) During the year, the company has recognised Rs. 337.12 crore
 (2009-10 : Rs. 221.89 crore) as Employer''s contribution to Provident Fund
 in the Profit and Loss Account (included in Contribution to Provident
 and Other Funds in Schedule ''O'').
 
 (B) PENSION SCHEME
 
 During the year, the company has recognised Rs. 349.86 crore (2009-10 : Rs.
 494.95 crore) towards Defined Contributory Employees Pension Scheme in
 the Profit and Loss Account (included in Contribution to Provident and
 Other Funds in Schedule ''O'').
 
 1.  RELATIONSHIP
 
 A) DETAILS OF JOINT VENTURE COMPANIES/ENTITIES
 
 1) IOT Infrastructure & Energy Services Ltd.
 
 2) Lubrizol India Pvt. Ltd.
 
 3) Petronet VK Ltd.
 
 4) IndianOil Petronas Pvt. Ltd.
 
 5) Avi-Oil India Pvt.Ltd.
 
 6) Petronet India Ltd.
 
 7) Petronet LNG Ltd.
 
 8) Green Gas Ltd.
 
 9) IndianOil Panipat Power Consortium Ltd.
 
 10) Petronet CI Ltd.
 
 11) Indo Cat Pvt. Ltd.
 
 12) IndianOil SkyTanking Ltd.
 
 13) Suntera Nigeria 205 Ltd.
 
 14) Delhi Aviation Fuel Facility Pvt. Ltd.
 
 15) Indian Synthetic Rubber Limited
 
 16) Indian Oil Ruchi Biofuels LLP
 
 B) WHOLE-TIME DIRECTORS
 
 1) Shri R.S. Butola
 
 2) Shri S.Behuria (upto 28.02.2010)
 
 3) Shri B.M.Bansal
 
 4) Shri S.V.Narasimhan
 
 5) Shri V.C.Agrawal
 
 6) Shri G.C.Daga
 
 7) Shri B.N.Bankapur
 
 8) Shri Anand Kumar
 
 9) Shri P. K.Chakraborti (upto 31.08.2009)
 
 10) Shri K.K. Jha
 
 11) Dr. R.K. Malhotra
 
 12) Shri Sudhir Bhalla
 
 13) Shri A.M.K.Sinha