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ONGC gains on hopes of lower subsidy burden

The stock was up 2.4% at Rs 293 on the National Stock Exchange.

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SI Reporter Mumbai
Last Updated : Dec 26 2013 | 11:35 AM IST
Oil and Natural Gas Corporation (ONGC) is trading higher by 2.4% at Rs 293 on reports that the petroleum ministry seeks to cut subsidy burden.

The stock opened at Rs 287 and hit a high of Rs 294 on the NSE. A combined 832,570 shares have changed hands on the counter so far on the NSE and BSE.

The petroleum ministry is planning a new subsidy-sharing mechanism - something that might come as relief to upstream oil companies like ONGC, Oil India and GAIL India, the Business Standard report suggests.

Meanwhile, the ministry will move a Cabinet note for a higher increase in diesel price - in line with the Rs 5 raise recommended by the Kirit Parikh committee, added report.

Among the other individual stocks, HPCL and BPCL are up 3% each, followed by Indian Oil (up 2%) and Oil India and GAIL India (up 1% each).
 

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First Published: Dec 26 2013 | 11:33 AM IST

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