Hindustan Oil Exploration zooms over 8 per cent; heres why!

The company is engaged in the exploration, development & production of crude oil and natural gas in India, both onshore as well as offshore.

On Wednesday, the shares of Hindustan Oil Exploration surged over 8 per cent as the company announced its first oil production as well as the commencement of gas sales. The stock witnessed a spurt in volume by more than 4.85 times.  

The company announced that both the wells D-1 & D-2 have been individually brought online for production after successfully addressing the technical issues faced during pre-commissioning operations and became the first Indian private operator to complete a greenfield development in Mumbai offshore region.  

Hindustan Oil Exploration has recorded net sales and other operating income of Rs 42.21 crore thereby, surging 46.43 per cent from Rs 28.82 crore, registered in Q4FY21. On the other hand, the operating profit was recorded at Rs 22.32 crore in Q4FY22 as compared to an operating profit of Rs 12.53 crore in Q4FY21. Surprisingly, Q4FY22 registered a net loss of Rs 27.58 crore. In spite of that, the shares of the company advanced 16 per cent over a period of one month and nearly 10 per cent in the last five days. The scrip has also soared 97 per cent in just one year.   

The company is engaged in the exploration, development & production of crude oil and natural gas in India, both onshore as well as offshore. Hence, keep a close eye on this counter.