Energy Sector

Investors switching to Cairn India from GAIL

Investors switching to Cairn India from GAILInvestors are looking to switch to oil explorer Cairn India from gas utility company GAIL (India) Ltd due to the difference in valuation and rising conflict in Iraq, dealers say.

GAIL is currently trading at 11 times of its FY16 earnings while Cairn India is trading at seven times, Thomson Reuters data shows.

"One can make a switch to Cairn as short-term firmness in crude oil prices and depreciating rupee are sentimental booster for the stock," said G. Chokkalingam, founder of Equinomics, a research and fund advisory firm.---- PTI

India's energy imports may rise to $230 billion by FY23: Goldman

Goldman-SachsNew Delhi: India's annual energy import bill could jump to USD 230 billion by FY'23 from the current USD 120 billion but could get reduced significantly by switching from oil to natural gas and improving conservation, says a Goldman Sachs report.

According to the global financial services major, the country's annual energy imports in the next decade could go up to USD 230 billion from USD 120 billion currently, driven by economic growth, greater industrialisation and urbanisation.

India is facing energy challenges as the country doesn't produce enough to meet its needs. In FY14, India's net energy imports were at 6.3 percent of GDP.

Crude oil prices will go up, says Mani Shankar Aiyar

Crude oil prices will go up, says Mani Shankar AiyarNew Delhi, June 20 - Congress leader Mani Shankar Aiyar, on Friday, said that the prices of crude oil will increase owing to the crisis in Iraq.

He said, "Because of this the price of petroleum products will also go up."

He asked: "would BJP be doing something new that was not done by the Congress government?"

Answering to questions about onions costs going upto rupees 100 per kg in October, he said "This could happen."

OIL signs MoU with Russia's Gazprom

Oil IndiaNew Delhi: Oil India Ltd, the second biggest state-run explorer in the country, today signed an agreement with Russia's Gazprom for joint pursuit of exploration opportunities across the globe.

Through the memorandum of understanding (MoU), OIL and Gazprom plan to jointly participate in upstream oil and gas exploration and production opportunities in different parts of the world as well as collaborate on LNG.

"The MoU also provides an option to the companies for technological association. Any area or project of common interest would also be covered under the purview of MoU," OIL said in a statement.

Cairn to invest $200 mn in Rajasthan gas field

CairnNew Delhi: Cairn India Ltd has said it will invest USD 200 million over the next three years in developing natural gas finds in the largely oil-bearing Rajasthan block.

The USD 200 million investment during FY2015-17 will be towards developing existing Raageshwari Deep Gas field and associated field facilities and pipeline, Cairn said in its 2013-14 annual report.

"Leveraging the gas potential of the Rajasthan block is a priority for Cairn India," Chairman Navin Agarwal said in the report.

India to pay $1.65 billion Iran oil dues via UAE

oil-importsNew Delhi: India will pay Iran USD 1.65 billion through the UAE central bank to clear over 40 percent of the backlog payments for oil imports.

Since February 2013 when US blocked payment channels, India has been paying 45 percent of its Iran oil bill in rupees through a Uco Bank branch in Kolkata. For the rest, it has been waiting for a payment channel.

As much as USD 4 billion has been accumulated in past dues. A payment mechanism is now in place under which USD 1.65 billion in three equal instalments of USD 550 million each will be transferred to Iran via the UAE central bank, senior government and industry officials said.

Gas price hike: Mukesh Ambani says will win public trust

Mukesh-AmbaniMumbai: Facing criticism from certain political quarters over natural gas price hike, Reliance Industries Chairman Mukesh Ambani Wednesday expressed confidence the company will win public trust as it believes in creating wealth and livelihood for millions in a transparent manner.

"We are here to win trust and we will win this with truth and transparency," Ambani told the shareholders at the 40th AGM here in response to an indirect question on Aam Aadmi Party's (AAP's) allegations against the company.

BP chief meets Oil Minister Pradhan on India projs, gas price

Bob-DudleyMoscow: With delays in regulatory nod and gas price revision frustrating its attempts to reverse falling gas output from KG-D6 field, BP chief executive Bob Dudley met Petroleum Minister Dharmendra Pradhan to press for early decisions.

Dudley, along with BP India head Sashi Mukundan, met Pradhan on the sidelines of the World Petroleum Congress on Tuesday to make a case for early decisions, officials said.

Coal quality issue between NTPC, CIL may be resolved soon

Coal quality issue between NTPC, CIL may be resolved soonNew Delhi: The government is expected to resolve the contentious issue of coal quality supplies between power producer NTPC and Coal India Ltd within a couple of weeks.

According to sources, at a meeting with the officials from the Coal Ministry, CIL and NTPC, Power and Coal Minister Piyush Goyal has said that the government will soon end the coal quality woes affecting the two state-owned companies.

ONGC to hike stake in Cairn block

ONGCNew Delhi: State-owned ONGC may raise its stake in Cairn India's prolific Rajasthan oil fields as a condition for agreeing to allow the Anil Agarwal-group firm operate the block after expiry of contractual period.

Cairn's contractual term for exploring and producing oil from the Rajasthan Block RJ-ON-90/2 expires in 2020 and the area is to return to the block licensee, Oil and Natural Gas Corp (ONGC).

ONGC, which currently holds 30 percent stake in the block, has told the Oil Ministry that the Production Sharing Contract (PSC) can be extended beyond 2020 if all parties to the contract agree on mutually agreeable terms.

Rupee hits over one-month low as oil prices surge

RupeeMumbai: The rupee weakened to 60 to a dollar on Monday, its lowest in more than a month, as strong demand for the greenback from oil marketing companies weighed after global crude prices surged to nine-month highs on Friday.

At 9:34 a. m., the rupee was at 59.9850/9900 after hitting 60.00, a level last seen on May 12. The pair had closed at 59.76/77 on Friday.

Traders expect the rupee to weaken further during the session as concerns persisted that an insurgency in Iraq could disrupt oil exports from the second-largest OPEC producer.--PTI

Gas price hike to balance reforms, interest of poor: Pradhan

Dharmendra-PradhanNew Delhi: As government mulls over the impending natural gas price hike, Oil Minister Dharmendra Pradhan on Tuesday said a right decision will be taken at the right time by balancing the urgency of reforms with the interest of the poor.

"We are examining all aspects of the issue. We are deeply into it. A right decision will be taken at the right time," he said.

Suzlon bags Rs 750 cr order from ReNew Wind Power

Suzlon EnergyNew Delhi: Wind turbine maker Suzlon Energy has bagged an order worth about Rs 750 crore for a project in Rajasthan.

The order for 100.8 MW wind farms has been awarded by ReNew Wind Power.

"The project is scheduled for execution at the Bhesada wind site, Dist Jaisalmer, Rajasthan," Suzlon said in a statement on Friday.

It is a repeat order placed by ReNew Wind Power.

Sources said the order is worth around Rs 750 crore.

Diesel price hike lifts oil firms' stock by up to 6.5%

Diesel-price-hikeMumbai: Shares of three oil marketing companies - BPCL, HPCL and IOC - on Monday rose by as much as 6.5 percent after diesel prices were hiked by 50 paise a litre.

Stock of Bharat Petroleum Corporation Ltd surged 6.41 percent to close at Rs 555, while Hindustan Petroleum Corporation Ltd ended 5.59 percent higher at Rs 423.30 on the BSE.

Similarly, Indian Oil Corporation's scrip rose by 0.76 percent to Rs 363.60.

Diesel prices were on Saturday hiked by 50 paise a litre, excluding state levies.

Non-subsidised LPG price cut by Rs 23.50, Jet fuel by 1.8%

Non-subsidised LPG price cut by Rs 23.50, Jet fuel by 1.8%New Delhi: Jet fuel prices have been cut by 1.8 percent and rates of non-subsidised cooking gas (LPG) by Rs 23.50 per cylinder after the rupee's appreciation lowered import costs.

The price of jet fuel, also known as aviation turbine fuel (ATF), at Delhi was cut by Rs 1,285.89 per kilolitre, or 1.81 percent, to Rs 69,747.98 per kl, according to Indian Oil Corp, the nation's largest fuel retailer.

OPEC daily basket price closes lower

OPECVienna, June 2 : The basket of 12 crude oils of the Organisation of Petroleum Exporting Countries (OPEC) stood at $105.91 a barrel Friday, against $106.45 last Thursday, according to the OPEC Secretariat.

The new OPEC reference basket comprises Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Iran Heavy (Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (United Arab Emirates) and Merey (Venezuela). A barrel is equal to 159 litres.(IANS)

Oil Minister proposes pro-poor approach on fuel, gas price hike

Oil Minister proposes pro-poor approach on fuel, gas price hikeNew Delhi, June 1 - Hinting at pro-poor approach in dealing with rise in fuel and gas prices, new Oil Minister Dharmendra Pradhan said that he would consult Finance and Law ministries before taking a call on price hike.

"That issue has many aspects, angles and questions. There are many departments associated with it. Law ministry and finance ministry are associated with it. We are analyzing the whole matter, we will talk to the top supporters in our government before we take the decision," he said.

Russia ready for talks on gas supply with Ukraine

Russia ready for talks on gas supply with UkraineBerlin, May 31 - Russia said Friday that it was prepared to continue negotiations with Ukraine over gas supplies next week once it receives partial debt payment from Ukraine.

Representatives from the European Union (EU), Russia and Ukraine met here Friday for a new round of trilateral talks in a bid to settle the ongoing gas dispute between Russia and Ukraine, days before a deadline set by Russia to cut the flow of gas if Ukraine does not pay unpaid bills, Xinhua reported.

Indian Oil posts over 35 percent fall in Q4 net profit

Indian-OilNew Delhi, May 29 : Indian Oil Corp (IOC) Thursday posted a fall of 35.30 percent in net profit for the fourth quarter ended March at Rs. 9,389.85 crore, as compared to Rs. 14,512.81 crore for the same quarter in the previous year.

However, the state-run oil marketer's total income from operations rose by 5.75 percent at Rs. 134,867.42 crore for the quarter in question, as compared to Rs. 127,534.77 crore for the quarter ended March 2013.

OPEC daily basket price closes tad higher

OPECVienna, May 28 : The basket of 12 crude oils of the Organisation of Petroleum Exporting Countries (OPEC) stood at $106.79 a barrel Tuesday, against $106.73 Monday, according to the OPEC Secretariat.

The new OPEC reference basket comprises Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Iran Heavy (Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (United Arab Emirates) and Merey (Venezuela). A barrel is equal to 159 litres.(IANS)

Syndicate content