Reliance Naval and Engineering
has filed a writ petition with the Honorable High Court of Bombay seeking direction to Oil and Natural Gas Corporation (ONGC)
to accept the delivery of balance five offshore supply vessels (OSVs).
The Hon'ble High Court of Bombay vide its order dated November 30, 2018, has not admitted the said petition on the ground of ordinary remedy available in law under the contract. The company will continue to take all necessary steps and actions to protect its rights.
The petition relates to the arbitrary termination of an old contract dated October 16, 2009, for the supply of 5 out of 12 offshore supply vessels (OSV) by ONGC.
ONGC had not extended the contract which was valid till May 31, 2018, and has already invoked the performance and other bank guarantees aggregating to Rs497.70cr.
Reliance Naval & Engineering Ltd is currently trading at Rs13.91 up by Rs0.32 or 2.35% from its previous closing of Rs13.59 on the BSE.
The scrip opened at Rs13.99 and has touched a high and low of Rs14.30 and Rs13.61 respectively.
Oil & Natural Gas Corpn Ltd is currently trading at Rs142.25 up by Rs0.6 or 0.42% from its previous closing of Rs141.65 on the BSE.
The scrip opened at Rs143.75 and has touched a high and low of Rs143.75 and Rs141.60 respectively.