Mercator zooms after arm makes first oil discovery

The company said its subsidiary Mercator Petroleum Ltd has made its first oil discovery in its very first well

Shares of Mercator zoomed nearly 13% to Rs 18.25 on the BSE after the company in relesae today said its subsidiary Mercator Petroleum Ltd has made its first oil discovery in its very first well.

"Crude oil flowed from its well, Jyoti-1 onto the surface in presence of the Directorate General of Hydrocarbons representative. The well was drilled in compliance with all the technological and ecological standards & requirements to a depth of 2936m penetrating multiple oil and gas shows," the release added.

It may be recalled that Mercator Petroleum was awarded 2 oil blocks in Cambay Basin under NELP VII by Government of India.

The stock opened at Rs 16.35 and touched a high of Rs 19.15 on the BSE. At 12:50PM, over 2.3 million shares were traded on both the stock exchanges.