Reliance Industries Expansion buzz

Reliance Industries surged 5.10% to Rs 2313 at 13:41 IST on BSE on reports the company plans set up its third refinery at Jamnagar in an ambitious project to reach a total capacity of 100 million metric tonnes per annum.

The stock hit a high of Rs 2313.30 and a low of Rs 2220 so far during the day. The stock had a 52-week high of Rs 3252.10 on 15 January 2008 and a 52-week low of Rs 1305 on 2 April 2007.

The company’s current equity is Rs 1453.65 crore. Face value per share is Rs 10.

The current price of Rs 2313 discounts its Q3 December 2007 EPS of Rs 222.26, by a PE multiple of 10.41.

Reliance Industries net profit rose 162.2% to Rs 8,079 crore on 22.7% rise in sales to Rs 34,590 crore in Q3 December 2007 over Q3 December 2006.

As per recent reports, the company has appointed a global oil and refinery consultancy firm to evaluate the feasibility of the project, which will help capitalize the increased requirement for global crude distillation capacity.

Also, the company has decided to shut down all the petroleum retail outlets owned by it directly as surging crude prices and the absence of government subsidies have made operations unviable, reports suggested.

Reliance Industries is engaged in oil refining, producing and distributing plastic and intermediates, polyester filament yarn, fibre intermediates, polymer intermediates, crackers, chemicals, textiles. It is also into exploration and production of oil and natural gas.