The Government of India has accepted several key recommendations made by the Kirit Parikh Committee with respect to the pricing of natural gas produced from the APM fields.
Stocks to Watch: Shares of city gas distributors are likely to be in focus today as they react to government's nod for new pricing regime.
When a stock reaches a new definitive peak, the trend is observed to rally in the same direction in the following sessions. This could become the case for Oil & Natural Gas Corporation and Oil India.
Sustained higher crude oil prices and gas realisations can result in better profitability for upstream oil and gas companies, analysts said
Altogether 10 out of 20 stocks in Nifty PSE index are flashing breakout structures that reflect medium-term bullishness.
In past one month, Oil India has rallied 23%, while, ONGC surged 11%, as compared to 0.33 per cent decline in the S&P BSE Sensex.
Sustained higher crude oil prices and gas realisations can result in better profitability for upstream companies, say analysts.
The reduction of windfall tax will reduce cess of domestic oil production companies like ONGC and Oil India.
As per analysts, electrolyser manufacturers, fuel cell makers for non-emission vehicles, traditional players engaged in energy storage solutions or batter makers are among key beneficiaries
On Friday, the Union government slashed the windfall tax on domestically produced crude oil and diesel effective December 16, 2022
The tax on crude oil produced by firms such as state-owned ONGC was reduced to Rs 4,900 per tonne from Rs 10,200 per tonne w.e.f December 02, 2022.
The proposed domestic gas pricing formula by Kirit Parikh panel will likely provide headroom to CGDs to reduce prices and improve margins, but this may hurt producers like ONGC, Oil India, experts say
The S&P BSE Oil & Gas index hit a 52-week high of 20,653.57 in intra-day trade on Wednesday
OIL produces heavy oil and natural gas at Tanot Dandewala and Baghewala in the state, and is exploring PML for five more locations in the state.