Oil explorers gain, tracking surge in oil prices

Tags: Companies
Crude oil explorers gain, tracking surging oil prices on escalating violence in Iraq on hopes of margin expansion and inventory gains, investors say.

Oil India Ltd is up 1.4 percent, Oil and Natural Gas Corp gains 1.5 percent, while Cairn India is up 1.7 percent.

Brent crude futures held near $113 per barrel on Tuesday as concerns over oil supply persisted, with the United States considering air strikes in Iraq amid a worsening security situation in the key oil producing country.

Also, traders point out that shares of ONGC and Oil India are pricing in a scenario where 90 percent of the subsidy burden would be borne by them. However, the expected reforms such as reduction in diesel subsidy could bring down the subsidy burden on these companies.

EDITORIAL OF THE DAY

  • Profit motive, not arbitrary pricing, should be guiding principle for the railways

    The freight hike for coal by the railways raises a serious question about the government’s penchant for price manipulation and administered pricing

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

Susan Visvanathan

A world that is constantly at war

THE 19th century posed specific problems to theorists about how ...

Jemima Raman

Things one learns on a potter's wheel

As things go, watching a shape emerge from a blob ...

Shona Adhikari

Masterpieces on the auction block

A rather important auction of 20th century Indian art by ...