Reliance Industries up on KG-D6 discovery hopes

Reuters Market Eye - Shares in Reliance Industries Ltd rise 1.8 percent, adding to Friday's 5.7 percent gain, after KG-D6 block partner BP Plc highlighted recent discoveries in two blocks as "potentially commercial" in its annual report out on Thursday, dealers say.

BP did not provide any indication of the size, but CLSA sees potential for "the largest" discovery in KG-D6, noting that another partner in the block, Niko Resources Ltd , had last year also cited a significant gas recovery.

CLSA further predicts Reliance could post a record quarterly net profit of 57.1 billion rupees in the January-March quarter, up 4 percent from the previous quarter, citing improving gasoline spreads, rising gross refining margins and a rise in gas and crude production.

 

(Reporting by Abhishek Vishnoi)