ONGC shares surge on earnings, new oil find

ONGC reported net profit of `6,080 crore for its fiscal first quarter, up from 4,100 crore a year ago

Mumbai: Shares in India’s state-run producer Oil & Natural Gas Corp (ONGC) rose as much as 4.1% in early trade on Monday after the company reported a higher-than-expected jump in quarterly profit over the weekend.

photoThe company benefited from higher crude oil prices and foreign exchange fluctuations and reported net profit of 6,080 crore ($1.1 billion) for its fiscal first quarter ended June, up from 4,100 crore a year earlier.

ONGC chairman Sudhir Vasudeva also said the producer has made a fresh discovery at the D1 offshore field off India’s western coast, which could boost in-place reserves at the field to an estimated 140 million tonnes of oil-equivalent from 82 million tonnes now.

Shares gained 0.54% to close at 280.80.