The two companies have inked a deal to jointly explore manganese bearing areas, exploring its feasibility to conduct mining operations. The company made the announcement on Friday, post market hours.
Reacting to the news, shares of the company spurted ~2% in early morning trade on Monday. GMDC shares also gained ~1% on Monday morning.
The two companies have also planned to set up an additional plant as a joint venture at Vadodara & Chhota Udepur (Gujarat) with a proposed investment of ~Rs250cr. The projects will commence in 2019.
The exchange filing also mentioned that Government of Gujarat would facilitate MOIL to obtain necessary permissions/registrations/approvals/clearances, etc. from the concerned departments of the state, as per the existing policies/rules and regulations of the State Government.
MOIL Ltd is currently trading at Rs165.55 up by Rs2.45 or 1.5% from its previous closing of Rs163.10 on the BSE.
The scrip opened at Rs164.50 and has touched a high and low of Rs166.70 and Rs164.50 respectively. So far 35,584 (NSE+BSE) shares were traded on the counter.
Gujarat Mineral Development Corporation Ltd is currently trading at Rs85.50 up by Rs0.45 or 0.53% from its previous closing of Rs85.05 on the BSE.
The scrip opened at Rs85.35 and has touched a high and low of Rs85.50 and Rs85.15 respectively. So far 6,115 (NSE+BSE) shares were traded on the counter.