Vedanta rises 4% on natural gas discovery in Krishna Godavari block
Shares of Vedanta rose 4.3 per cent to Rs 233.40 per share on the BSE in intra-day trade after the company on Thursday said that it has discovered natural gas in a Krishna Godavari basin block in the Bay of Bengal.
The Anil Agarwal-led company which recently merged oil explorer Cairn India with itself said that it has notified the oil ministry and the upstream regulator Directorate General of Hydrocarbons (DGH) about the discovery in well A3-2 in block KG-OSN-2009/3.
"A3-2 is the first exploration well drilled within the KG-OSN-2009/3 block. Multiple reservoir zones were encountered in the Mesozoic rift formation between the depths of 3351-3944m MDBRT with indications of hydrocarbon during drilling and formation evaluations." Vedanta said in a BSE filing.
One zone flowed gas to surface during well testing.
At 12:21 pm, the stock was trading 3.3 per cent higher at Rs 231.10 on the BSE. It has hit a low of Rs 226.25 so far in intra-day. In comparison, the S&P BSE Sensex was up 0.6 per cent at 37,936 levels.