Hindustan Oil Exploration Company Limited to increase participating interest to 60% in Mumbai High block

Hindustan Oil Exploration Company Limited and Adbhoot Estates Private Limited ("Adbhoot") are holding 50% participating interest each under the Revenue Sharing Contract (RSC) for the block MB/OSDSF/B80/2016, an offshore oil field in Mumbai High. HOEC is the Operator to the block.

The Company has now entered into a Deed for Assignment and Assumption with Adbhoot for assigning 10% of its participating interest in the field in favor of the Company. This in effect would increase HOEC's participating interest from 50% to 60% in the block.

The Company has made necessary application to the Directorate General of Hydrocarbons in this regard on 7th December 2020 and the said assignment and assumption is subject to approval of the Government of India. The Company is in the process of securing a loan facility in due compliance of the law to meet this additional capital costs.

Shares of HINDUSTAN OIL EXPLORATION CO.LTD. was last trading in BSE at Rs.86.75 as compared to the previous close of Rs. 86.35. The total number of shares traded during the day was 32263 in over 386 trades.

The stock hit an intraday high of Rs. 88.65 and intraday low of 86.5. The net turnover during the day was Rs. 2818031.

Source : Equity Bulls

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