RNRL net profit surges 128% to Rs 24 crore

CORPORATE SCORECARD

Reliance Natural Resources Limited (RNRL), the fuel transportation company of the Anil Dhirubhai Ambani Group (ADAG), posted a net profit of Rs 23.79 crore in the quarter ended December 2007, compared with Rs 10.45 crore in corresponding quarter of the previous year.

The 127.65 per cent rise in net profits was a result of lower operational expenses.

Total income stood at Rs 90.42 crore, 25 per cent less than Rs 121.15 crore posted in the corresponding previous quarter. The income from operations declined by 44 per cent to Rs 40.73 crore compared with Rs 73.53 crore in the corresponding previous quarter.

The cost of operations were 45 per cent lower at Rs 35.91 crore, compared with Rs 65.91 crore in the same quarter of the previous year.

Reliance Fuel Resources Limited, a company that operates in fuel handling and processing, became a subsidiary of RNRL during the quarter.

RNRL posted a net profit of Rs 58 crore for the nine months ended December 31, 2007, 170 per cent higher than the Rs 21.47 crore profit in the corresponding period.

Total income stood at Rs 217.03 crore, 31 per cent higher than Rs 164.87 crore posted in the previous year's corresponding nine month period.

RNRL is engaged in a legal battle with the Mukesh Ambani controlled Reliance Industries (RIL) over the Gas Supply Master Agreement (GSMA) signed by the Ambani brothers as part of the demerger of Reliance Group of Companies in 2005.

RNRL is engaged in the exploration, production and distribution of gas and mining of coal.

The company has four coal bed methane blocks with an acreage of about 3,251 sq. kms, making it the country's second largest CBM player in terms of acreage.

RNRL has also been awarded an oil and gas block with acreage of about 3,619 sq. kms. in the state of Mizoram under the New Exploration Licensing Policy (NELP-VI) for the exploration and production of oil and gas.