scorecardresearch
Saturday, Sep 24, 2022
Premium

Niko can hike stake in 3 blocks: Reliance

Reliance Industries' partner Niko can raise its stake to 13% in NEC 25 and 19.5% in D4 blocks.

A day after BP agreed to buy a 30 per cent stake in 23 oil and gas blocks owned by Mukesh Ambani-led Reliance Industries Ltd (RIL) at a cost of $7.2 billion,RIL said its partner Canada’s Niko Resources can raise its stake to 13 per cent from 10 per cent in the key gas producing KG D6 block,off India’s east coast.

“Niko Resources was informed about our partnership with BP. As per the contractual provision,Niko can increase by 30 per cent of their current holdings,” Reliance said in a statement.

Niko can raise its stake to 13 per cent from the current 10 per cent stake in NEC 25 block and to 19.5 per cent in D4 block from the present 15 per cent stake,the statement said.

Though the Sensex fell 142 points,RIL shares closed 2.98 per cent higher at Rs 985.05 on the BSE on Tuesday as the deal with BP boosted the sentiment.

Subscriber Only Stories
Giorgia Meloni could be the first woman to lead Italy. Not all women are ...Premium
UPSC Essentials: Weekly news express with MCQs — EWS to Modi-Putin meetPremium
Swati Ganguly’s Tagore’s University: A History of Visva-Bharati (19...Premium
A cool and breezy Carnatic Summer is helping Chennai reset and rehabPremium

In 2000,Niko secured a 10 per cent interest in the D6 Block located offshore on the east coast in India where Niko and its partner,Reliance Industries Ltd have conducted successful exploration programmes that resulted in the largest gas discovery in the world for the year 2002 with initial reserves of gas in place estimated to exceed 13 trillion cubic feet.

In 2006,oil was discovered in the D6 Block in K-G basin with oil production commencing in September 2008.

The company is one of the fastest growing companies in the industry with a market capitalisation of over $5 billion trading on the Toronto Stock Exchange (TSE).

Advertisement

On February 11,Niko said it received the operator’s volume forecast for the fiscal year ended March 31,2012.

The forecast predicts that volumes during the period will remain flat at current production levels,it said.

First published on: 23-02-2011 at 02:41:32 am
Next Story

Oil prices shoot up,global stocks sink on Libyan revolt

Latest Comment
Post Comment
Read Comments
Advertisement
Advertisement
Advertisement
Advertisement