KIOCL share price hits 20% upper circuit, touches 52-week high; here's why

KIOCL share price ares hit 20% upper circuit and touched a new 52-week high on Tuesday following the company's announcement that the Pellet Plant Unit of KIOCL in Mangalore resumed operations on October 14, 2023. KIOCL Limited share price opened at ₹414.95 apiece on BSE. KIOCL stock price touched intraday high of ₹476.40 and low of ₹413.55.

According to technical analysts, KIOCL stock price has given significant returns in last three month. Even after this sharp run up, it has good price volume structure which indicates that this uptrend can continue going ahead.

Due to the unavailability of iron ore fines and having to carry out maintenance, KIOCL's Pellet Plant Unit operating in Mangalore was temporarily discontinued on September 28, 2023.

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For two-straight trading sessions, KIOCL share price has shot up and has gained 44%. As per trendlyne data, KIOCL stock price rose 156.06% and outperformed its sector by 93.24% in the past year.

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It was reported by The Hindu Businessline in August of this year that KIOCL, a premier iron-ore exporting unit and CPSE under the Steel Ministry, had written to the Ministry asking for its intervention in resolving issues with the Karnataka State government so that mining operations at the Devadari Iron Ore mines there could begin.

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The mine is situated in the Ballari area of Karnataka's Sandur Taluk. In 2024–2025, KIOCL intends to generate about 3 lakh tonnes annually, according to the Hindu Businessline news report.

In order to facilitate the processes by bringing it up with the Karnataka Forest Department, the CPSE has requested assistance from the Steel Ministry in order to enter the forest land and begin operations at the mines, said the news report.

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