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Cairn India hits record high as crude oil nears $100 a barrel mark

Capital Market / 12:33 , Feb 08, 2012

Cairn India rose 2.31% to Rs 374.45 at 12:29 IST on BSE as crude oil prices rose for the second straight day after an industry report showed stockpiles shrank in the US, the world's biggest crude consumer.

Meanwhile, the BSE Sensex was up 89.39 points, or 0.51% to 17,711.84.

On BSE, 1.64 lakh shares were traded in the counter as against average daily volume of 6.77 lakh shares in the past one quarter.

The stock hit a high of Rs 376.90 so far during the day, which is a record high for the counter. The stock hit a low of Rs 366. so far during the day. The stock had hit a 52-week low of Rs 250 on 26 August 2011.

The stock had underperformed the market over the past one month till 7 February 2012, rising 8.4% compared with the Sensex's 11.19% return. The scrip had, however, outperformed the market in past one quarter, surging 19.53% as against 0.34% gain in the Sensex.

The large-cap oil exploration firm has equity capital of Rs 1903.28 crore. Face value per share is Rs 10.

Higher crude oil prices will result in higher realization from crude sales for oil exploration firms like Cairn India. Crude oil futures for March 2012 delivery were up 73 cents to $99.14 a barrel in Asian electronic trading today, 8 February 2012. The contract had surged $1.50 a barrel, or 1.54% to settle at $98.41 a barrel on the New York Mercantile Exchange on Tuesday, 7 February 2012.

US crude inventories fell by 4.5 million barrels in the seven days ended 3 February 2012, the first drop in three weeks, the American Petroleum Institute said on Tuesday, 7 February 2012.

On a consolidated basis, Cairn India's net profit rose 12.5% to Rs 2261.93 crore on 12.1% growth in total income to Rs 3510.58 crore in Q3 December 2011 over Q3 December 2010.

Cairn India is engaged in oil and gas exploration, production and transportation. The company sells its oil to major refineries in India and its gas to both state run and private buyers.

 



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