Aug 06, 2012, 06.21 PM IST

Why RIL stock has hit a 4-month high

Reliance Industries has touched an intraday high of Rs 785.00 and an intraday low of Rs 745.55. At 10:28 hrs the share was quoting at Rs 777.10, up Rs 34.20, or 4.60%.

Source: Moneycontrol.com

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Reliance Industries jumped over 5% in early trade on reports that the company had a fruitful meeting with the the oil ministry on investment plans for KG-D6 block, which has been pending since around two years.

Also, an empowered committee nominated by the Cabinet may also consider the commercial viability of three new significant gas discoveries in the KG D6 gas block. These discoveries are likely to help RIL-BP-Niko to arrest the gas production decline in KG-D6. Once the discoveries are declared commercial, RIL-BP would integrate the development plan for the three discoveries with 13 other discoveries.

Another reason for the company stock to hit a 4-month high could be due to the Singapore gross refining margins (GRM) jumping to an average of USD 8 a barrel from USD 6.7 a barrel in the quarter ended June 30, 2012.

Reliance Industries has touched an intraday high of Rs 785 and an intraday low of Rs 745.55. At 10:28 am, the share was quoting at Rs 777.10, up Rs 34.20, or 4.60%.

It was trading with volumes of 578,487 shares, compared to its 5-day average of 296,491 shares, an increase of 95.11%. In the previous trading session, the share closed up 0.47% or Rs 3.45 at Rs 742.90.

Currently, it is trading -13.85% below its 52-week high and 15.81% above its 52-week low.