RIL scrip soars on reports of its buying stakes in refineries abroad

Mumbai, June 12 (UNI) Index heavyweight Reliance Industries (RIL) stock today advanced by 2.45 per cent to Rs 1,709 on 10.49 lakh shares on the premier Bombay Stock Exchange (BSE) on reports that it is looking at buying stake in refineries in US and Middle East.

After offering a small stake in its new refinery to Chevron, Mukesh Ambani-owned Reliance Industries Limited (RIL) is now planning to pick up stakes in refineries in the US and the Middle East. RIL is also scouting for similar assets in Peru and Colombia, the CEO and President of the company's oil and gas business, Mr P M S Prasad, said in an official statement today.

RIL however, declined to give financial details or identify likely targets.

''We are looking at the US and Middle East. Various companies are rationalising their portfolios. We have expertise in operation, extension and upgradation. We are now developing a deep-water gas block in Krishna Godavari basin on India's east coast and hope to finalise the price of its gas by the end of July, well ahead of production scheduled of mid-2008. Gas price has to be ready by July-end. As a rule we have to ready it 12 months before starting commercial production,'' Mr Prasad explained.

The gas from RIL's gigantic KG basin block is expected to flow at a rate of 30-40mn cubic metres per day from July 2008, and will reach a peak level of 80mn cubic metres a day in 2009, experts tracking the enery sector predicted.

UNI