GAIL (India) rose 0.9% to Rs 422.35 at 11:00 IST on BSE after the company announced that it received Cabinet Committee on Economic Affairs' approval for 40% capital grant for execution of gas pipeline project.The announcement was made after market hours on Monday, 10 October 2016. The market remained shut on 11 and 12 October 2016.
Meanwhile, the S&P BSE Sensex was down 270.41 points or 0.96% at 27,811.93.
On BSE, so far 83,395 shares were traded in the counter as against average daily volume of 1.8 lakh shares in the past one quarter. The stock hit a high of Rs 424.80 so far during the day, which is a 52-week high for the stock. The stock hit a low of Rs 410.50 so far during the day. The stock had hit a 52-week low of Rs 276.45 on 10 November 2015. The stock had outperformed the market over the past one month till 10 October 2016, gaining 6% compared with Sensex's 2.48% fall. The scrip had also outperformed the market in past one quarter, rising 11.49% as against Sensex's 3.52% rise.
The large-cap company has equity capital of Rs 1268.48 crore. Face value per share is Rs 10.
GAIL (India) on Monday, 10 October 2016, announced that it has received intimation from the Ministry of Petroleum and Natural Gas that the Cabinet Committee on Economic Affairs (CCEA) approved 40% capital grant -limited to Rs 5176 crore over 5 years of the estimated capital cost of Rs 12940 crore to GAIL (India) for execution of Jagdishpur-Haldia/Bokaro-Dhamra gas pipeline (JHBDPL) project by 2020.
Separately, the company announced after market hours on Monday, 10 October 2016 that it has initiated a major step towards the construction of the Jagadishpur-Haldia-Bokaro-Dhamra Natural Gas Pipeline (JHBDPL), by approving placement of orders for pipeline laying work of 345 kilometers from Phulpur to Dobhi under phase-IB at an estimated cost of Rs 306 crore under two sections to be executed simultaneously by JSIW Infrastructure Pvt. Ltd. and IL&FS Engineering & Construction Company. Laying works under phase-IB shall commence by the end of October, 2016 and targeted to be completed by December, 2018.
The first phase at a project cost of Rs 3200 crore will cover 755 kilometer to cover Phulpur, Mani, Gorakhpur, Varanasi, Dobhi, Silao, Patna and Barauni spread across various sections. Pipeline construction is already under progress along Gaya-Barauni-Patna section.
The 2,539 kilometer long JHBDPL is scheduled for completion by December 2020 and will connect major cities and towns enroute for commencing piped natural gas to homes across UP, Bihar, Jharkhand, West Bengal and Odisha in addition to supplying feed gas to anchor fertilizer units at Gorakhpur, Barauni and Sindri. The line pipes supplies against orders are expected to commence soon from Jindal Saw Limited, MAN Industries (India), Essar Steel India Limited and Zhongyou BSS (Qinhuangdao) Petro pipe Co. Ltd, China.
GAIL (India)'s net profit jumped 244% to Rs 1335.18 crore on 14.6% decline in net sales to Rs 10686.58 crore in Q1 June 2016 over Q1 June 2015.
State-run GAIL (India) is India's largest natural gas company with a market share of over 80% in natural gas transmission. Apart from natural gas transmission, distribution and processing, GAIL has diversified business interests in LPG transmission, petrochemicals, city gas projects and exploration and production activities. Government of India (GoI) holds 56.11% stake in GAIL (as per shareholding pattern as on 30 June 2016).
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)