Nifty Oil -; Gas surges 1% to drive bullish markets; Oil India skyrockets 8%; RIL, ONGC also add to gains

7 Jan 2022 , 12:00 PM

Nifty Oil & Gas index rose over 1% on Friday to push bullish markets further. Oil India Limited skyrocketed 8% to lift the performance of the sector while ONGC, and Gujarat Gas Petronet, Gujarat Gas and Reliance Industries saw also huge buying activity. Adani Total Gas and GAIL were under pressure.

The performance comes after crude oil prices rose about 2%, extending their new year’s rally, on escalating unrest in OPEC+ oil producer Kazakhstan and supply outages in Libya.

Sensex reclaimed over 60,000-mark today after snapping a 4-day gaining spree on Thursday. Nifty 50 even topped over 17,900-mark earlier today. However, markets have corrected from their early gains but continues to trade higher. 

Sensex was trading at 59,760.74 up 158.9 points or 0.27% and Nifty50 at 17,806.50 up 60.60 points or 0.34%.

Nifty Oil & Gas was trading at 7,676.05 up 67.95 points or 0.89%, after touching a high of 7,724.35 and low of 7,637.55 during intraday trade.

Oil India was trading 8.06% higher at Rs213.80 per piece. The government-owned oil and gas company, reportedly is setting up a 100 kW green hydrogen production unit at its Jorhat oilfield in Assam. The plant at its Pump station-3 in Jorhat will generate green hydrogen using anion exchange membrane (AEM) technology. Oil India transferred 1,85,57,748 equity shares of subsidiary – Numaligarh Refinery in favour of Govt. of Assam on January 3, 2022 at a consideration of Rs217.75 per share (total consideration aggregating to Rs404.09cr).

ONGC was nearly 3% higher at Rs155.15 per piece. GAIL (India) has acquired an equity stake of 26% in ONGC Tripura Power Company (OTPC), which owns and operates a 726.6 MW gas-based combined cycle power plant in Palatana, Tripura.

Gujarat Gas Petronet and Gujarat Gas were also bullish, advancing 2.2% and 1.24% respectively. Reliance (up 0.91%) was also in the fast lane. 

Adani Total Gas Limited dragged over 1% at Rs1,779.00 to emerge the biggest loser. GAIL shed 0.43% while MRPL also traded in the red.