Hindustan Oil Set to Turn a Discovered Small Field (DSF-III) Success Story
HOEC is expected to start production from the block during the third quarter of the current financial
year. The Company is seeing a ten-fold rise in the reserves
based on the latest estimates.
At a time when the government is rolling out the red carpet for
investors under the third round of Discovered Small Field (DSF-III) auctions, Chennai-based Hindustan Oil
Exploration Company (HOEC) has claimed that based on the latest estimates, B80 block — that it won
during the first round of DSF — has seen a tenfold rise in oil and gas reserves.
The company is expected to start production from the block during the third quarter of the current
financial year.
With B80 in place, total production by the company is expected to increase from 2,300 barrels of oil
equivalent per day (BOEPD) to 7,000 BOEPD.
The story of HOEC begins in 1983, when the great visionary, the Late Shri H.T. Parekh foresaw the need for a private stake in India's Oil & Gas sector. After over 3 decades, HOEC has now emerged as a fast growing independent E&P operator in India. HOEC now, through its operations, supplies 10,000 boe of products to the nation daily, across 4 of the 7 production basins in India. HOEC Ltd achieved it's success by adopting a low-cost rapid development model with a focus on local content, innovation and sustainable practices. HOEC aims to create long-term stakeholder value and ensures "grow responsibly".
Multiple keys to turn a Multibagger Stock
It is at a time when the majority of players, who won blocks under the DSF, are struggling to start
production.
A total of 54 contract areas were awarded in the first two rounds of DSF, out of which the DGH has
received field development plans for 29 areas.
“We are seeing a multifold rise in the reserves
based on the latest estimates. The pre-bid expected
volume was around 1.8 million metric tonnne (MT)
of oil and 0.25 million metric tonne of oil equivalent
(MMTOE) gas. This has increased to 18.6 MT and 3.1
MMTOE now,” said P Elango, managing director
(MD) of the company.
According to the company,
with the rise in estimates, the value of reserves also
increased from $35 million pre-bid to $365 million
now (at a price of $65 a barrel).
The company is investing $40 million in the block
for two wells, in addition to four wells already
drilled by the Oil and Natural Gas Corporation
(ONGC).
“The reason for such increase is on account
of post-development drilling, whereby HOEC revised
the B80 three- dimensional geological model by
applying all the data from the field, which include all
the six wells,” he added.
B80 block in the Arabian
Sea, off the Mumbai coast, had its first discovery by
ONGC in 1987.
HOEC won the block in September 2017, when the
government came out with small field auctions to
attract new investors to the sector. These were small oil and gas discoveries made by public sector
undertaking oil companies, ONGC and Oil India (OIL). But these state-run companies could not develop it
due to various reasons, including unviability, small size and restrictive fiscal regimes.
Though HOEC and Adbhoot Estates had equal stake in B80 initially, the Chennai-based company
increased its stake to 60 per cent last year. The company had raised a Rs. 150-crore loan during that time
for the acquisition and other project development works.
The third round for which the government is scouting for investors includes 32 contract areas.
These
comprise 75 discoveries, spread over 9 sedimentary basins covering an area of about 13,685 square
kilometres.
These blocks are expected to have a potential of approximately 232 million tonne. The government is set
to conduct roadshows at overseas destinations like Perth, Singapore, Houston and London as well as
domestic locations like New Delhi, Mumbai and Gandhi Nagar, said sources.
HOEC: Highlights
Mkt Cap (Rs. Cr.)
2,234
Dividend Yield
--
52 Week High
173.40
52 Week Low
60.35
TTM EPS
4.04
TTM PE
41.83
Sector PE
12.93
Book Value Per Share
55.44
P/B
3.05
Face Value
10
Stock Price of HOEC is quoting at Rs. 150.90 at NSE on EOD 02-08-2021.
Market Gurus believe that Hind Oil Exploration (HOEC) is still great buy after a decent rally in last week.
Backed by lowest cost evacuation of crude the stock is poised to trade outside its chart territory.
Glorious margins coming.
If crude don't fall below 50 dollars, stock price is possible to give multibagger return to its stockholders in next two years.
Disclaimer; the above post is based on information available across internet, it is just a compilation of different reports. This post should be treated as an informational post only and it is not a buying call. Please consult your financial adviser before investing in the stock discussed in the post.
Reliance Industries has announced the rights issue and currently the issue is open for subscription which would last till June 3, 2020. This Rights Issue looks and is also similar to most rights issues opened in the past for various companies except one thing which has set this issue apart from others in past.
There is much interest in the issue of the rights of Reliance Industries. While not the first company to raise capital through an offer of rights, it was the first company to credit its shareholders' rights entitlement directly to their demo accounts so that they could trade them on the exchange platform.
With lock-outs still effective in most parts of the country, this electronic credit comes handy for shareholders who would not be able to step outside to submit physical application forms. SEBI, in a recent circular, made buying and selling Rights Entitlements (REs) easy and simple. It could also be a preferred method of raising capital for other companies.
Reliance Industries Right Issue FAQs
1. How will the Basis of Allotment be decided?
Subject to the provisions contained in the Letter of Offer, the Abridged Letter of Offer, the Rights
Entitlement Letter, the Application Form, the Articles of Association and the approval of the
Designated Stock Exchange, Company Board will proceed to Allot the Rights Equity Shares in the
following order of priority:
(a) Full Allotment to those Eligible Equity Shareholders who have applied for their Rights
Entitlements of Rights Equity Shares either in full or in part and also to the Renouncee(s) who has
or have applied for Rights Equity Shares renounced in their favour, in full or in part.
(b) Eligible Equity Shareholders whose fractional entitlements are being ignored and Eligible Equity
Shareholders with zero entitlement, would be given preference in allotment of one additional
Rights Equity Share each if they apply for additional Rights Equity Shares. Allotment under this
head shall be considered if there are any unsubscribed Rights Equity Shares after allotment
under (a) above. If number of Rights Equity Shares required for Allotment under this head are
more than the number of Rights Equity Shares available after Allotment under (a) above, the
Allotment would be made on a fair and equitable basis in consultation with the Designated Stock
Exchange and will not be a preferential allotment.
(c) Allotment to the Eligible Equity Shareholders who having applied for all the Rights Equity Shares
offered to them as part of the Issue, have also applied for additional Rights Equity Shares. The
Allotment of such additional Rights Equity Shares will be made as far as possible on an equitable
basis having due regard to the number of Equity Shares held by them on the Record Date,
provided there are any unsubscribed Rights Equity Shares after making full Allotment in (a) and
(b) above. The Allotment of such Rights Equity Shares will be at the sole discretion of the Board
in consultation with the Designated Stock Exchange, as a part of the Issue and will not be a
preferential allotment.
(d) Allotment to Renouncees who having applied for all the Rights Equity Shares renounced in their
favour, have applied for additional Rights Equity Shares provided there is surplus available after
making full Allotment under (a), (b) and (c) above. The Allotment of such Rights Equity Shares will
be made on a proportionate basis in consultation with the Designated Stock Exchange, as a part
of the Issue and will not be a preferential allotment.
(e) Allotment to any other person, that the Board may deem fit, provided there is surplus available
after making Allotment under (a), (b), (c) and (d) above, and the decision of the Board in this
regard shall be final and binding.
After taking into account Allotment to be made under (a) to (d) above, if there is any unsubscribed
portion, the same shall be deemed to be ‘unsubscribed’.
2. When will the Rights Equity Shares be credited to the demat account?
On or About June 11, 2020
3. When will the Rights Equity Shares get listed on the exchanges?
On or About June 12, 2020
4. Will the Rights Equity Shares trade along with the currently listed Equity Shares of the
Company?
Rights Equity Shares are partly paid up shares and will be allocated a separate ISIN. Hence, it will not
trade with the currently listed Equity Shares of the Company. It will trade separately. Once the entire
Call Money is raised and the Rights Equity Shares are fully-paid up, the Rights Equity Shares will
trade along with the currently listed Equity Shares of the Company.
On payment of the final Call in respect of the partly paid-up Rights Equity Shares, such partly paid-up
Rights Equity Shares would be converted into fully paid-up Equity Shares and shall be listed and
identified under the existing ISIN for fully paid-up Equity Shares of the Company.
5. Will Rights Equity Shares trade freely post listing?
Yes
6. When will next Call Money be payable?
Remaining Call Money will have to be paid, on one or more subsequent Call(s), as determined by the
Board at its sole discretion, from time to time
7. How to withdraw an Application made through ASBA or R-WAP platform?
An Investor who has applied in the Issue may withdraw their Application at any time during Issue
Period by approaching the SCSB where application is submitted or sending the email withdrawal
request to ril.rights@kfintech.com in case of Application through R-WAP facility. However, no
Investor, whether applying through ASBA facility or R-WAP facility, may withdraw their Application
post the Issue Closing Date.
FAQs for Shareholders holding Equity Shares in a physical form
1. Can shareholders holding Equity Shares in a physical form renounce their Rights
Entitlement?
In accordance with SEBI circular SEBI/HO/CFD/DIL2/CIR/P/2020/78 dated May 6, 2020, the Eligible
Equity Shareholders, who hold Equity Shares in physical form as on Record Date and who have not
furnished the details of their demat account to the Registrar or the Company at least two Working
Days prior to the Issue Closing Date, will not be able to renounce their Rights Entitlements.
2. Will share certificates be provided to shareholder holding Equity Shares in a physical form if
demat account is not provided?
No, share certificates will not be provided to shareholder holding Equity Shares in a physical form.
3. Why will physical share certificates not be issued to successful Allottees in Rights Issue?
In accordance with Regulation 77A of the SEBI ICDR Regulations read with the SEBI Rights Issue
Circulars, the credit of Rights Entitlements and Allotment of Rights Equity Shares shall be made in
dematerialised form only.
4. What is the process for the shareholders who have been allotted shares in the rights Issue for
getting the Rights Equity Shares in demat account post allotment?
In case of Allotment to resident Eligible Equity Shareholders who hold Equity Shares in physical form
as on Record Date, have paid the Application Money and have not provided the details of their demat
account to the Registrar or the Company at least two Working Days prior to the Issue Closing Date,
the following procedure shall be adhered to:
(a) the Registrar shall send Allotment advice and credit the Rights Equity Shares to a demat
suspense account to be opened by the Company;
(b) within 6 (six) months from the Allotment Date, such Eligible Equity Shareholders shall be required
to send a communication to the Company or the Registrar containing the name(s), Indian address,
email address, contact details and the details of their demat account along with copy of self-attested
PAN and self-attested client master sheet of their demat account either by post, speed post, courier,
electronic mail or hand delivery;
(c) Company (with the assistance of the Registrar) shall, after verification of the details of such demat
account by the Registrar, transfer the Rights Equity Shares from the demat suspense account to the
demat accounts of such Eligible Equity Shareholders;
5. How much time will it take to get the Rights Equity Shares credited in demat account for those
investors who have not provided their demat account details during issue period?
The Company (with the assistance of the Registrar) shall, after verification of the details of demat
account by the Registrar, within reasonable time initiate the process of transfer of the Rights Equity
Shares from the demat suspense account to the demat accounts of such Eligible Equity
Shareholders.
10. What is the last date for providing the demat account details for getting the Rights Equity
Shares Allotted in the Issue in such demat account?
Within 6 (six) months from the Allotment Date, Eligible Equity Shareholders shall be required to send
a communication to the Company or the Registrar containing the name(s), Indian address, email
address, contact details and the details of their demat account along with copy of self-attested PAN
and self-attested client master sheet of their demat account either by post, speed post, courier,
electronic mail or hand delivery for getting the Rights Equity Shares Allotted in the Issue in demat
account.
Search Terms: Reliance Industries' rights issue, trading as Reliance Industries-Rights Entitlement or RIL-RE on the National Stock Exchange,Reliance Industries Ltd's rights entitlement,Reliance Industries - Rights Entitlement (RIL - RE),Reliance Industries' (RIL's) mega rights issues,Reliance Industries- Rights Entitlement (RE), RIL rights entitlement ratio,
ICICI maintains BUY rating on the NCL Industries with a revised target price of Rs 210/share. They value the company on an SOTP basis. ICICI assigns EV/EBITDA multiple of 6.5x for the boards division on FY20E EBITDA while the cement business is valued at EV/tonne of US$50/t
NCL Industries Limited is engaged in manufacturing cement. The Company offers ordinary Portland cement (OPC), Portland Pozzolana cement (PPC), OPC 53 S cement, and Plain and laminated Cement Bonded Particle Boards. The Company's segments are Cement, Boards, Prefab structures, Hydel Power and Ready-Mix Concrete (RMC). The Company's cement manufacturing units are located at Simhapuri in the state of Telangana and Kondapalli in the state of Andhra Pradesh. Its boards plants are located at Simhapuri in the state of Telangana and Bhothanwali Village in the state of Himachal Pradesh. Its RMC plants are located at Hyderabad in the state of Telangana and Visakhapatnam in the read more >>>
Fundamental Analysis of NCL Industries Ltd find here>>>
Latest Shareholding pattern of NCL Industries Limited
Chennai Petroleum is one of the best
stocks in refineries sector trading at a very low PE. This is a buy for a
number of other reasons. Chennai Petroleum is a company that is into crude oil
refining.
About the company
Chennai
Petroleum Corporation Limited (CPCL) is an Indian state-owned oil and gas
corporation headquartered in Chennai, India. Formed as a joint venture between
Government of India, AMOCO and National Iranian Oil Company (NIOC), it was formerly
known as Madras Refineries Limited (MRL). Chennai Petroleum is a public sector
undertaking (PSU) and categorized as Miniratna-I.
Product portfolio;
The main products of the Chennai
Petroleum are;
LPG,
High Speed Diesel,
Motor Spirit,
Bitumen,
Lube Base Stocks,
Superior Kerosene,
Aviation Turbine Fuel,
Naphtha,
Paraffin Wax,
Hexane,
Petrochemical Feed Stocks and
Fuel Oil.
Fundamentals;
Mar'17
(In Rs Cr)
Total Share Capital
1,149.00
Net Worth
4,441.10
Total Debt
4,497.72
Net Block
3,882.83
Investments
140.00
Total Assets
8,938.81
Valuation;
MARKET CAP (RS CR): 5,427.08
EPS (TTM): 60.81
P/E : 5.99
INDUSTRY P/E: 9.56
BOOK VALUE (RS): 222.53
PRICE/BOOK: 1.64
DIV (%): 210.00%
DIV YIELD.(%): 5.76%
FACE VALUE (RS): 10.00
Why
Chennai Petroleum is a multibagger stock?
Chennai Petroleum is a multibagger stock which has risen
from Rs. 51.75 in October, 2013 to Rs. 480 in October, 2017 i.e. it delivered
more than 800% profit in just 4 years. Chennai Petroleum witnessed a fantastic
years even in 2017-18 and the same trend is expected to continue.
The company has already reported an EPS of Rs 50 in the last
three quarters of FY 2017-18. An another
Rs 15 to 18 EPS is expected in the fourth quarter, if it is then the twelve
month trailing (TTM) EPS will come
around Rs 65 to 68. Hence at a current price of Rs 353 the stock of Chennai
Petroleum is trading around P/E multiple of 5 only and at this price valuation
is mouth watering.
Chennai Petroleum is one of the best stocks in refineries
sector trading at a very low PE. This is a buy for a number of other reasons.
Chennai Petroleum is a company that is into crude oil refining. As long as
crude oil prices remain subdued there is a complete scope for the stock price
to rally. The company has also known for excellent dividend yield track record
it recently declared a stupendous dividend of Rs 21 per share accounting for a tax
free dividend yield of Rs. 5.75 % at current share price of Rs 353.
Technical;
On yearly chart the
stock of Chennai petroleum is trading at Rs. 353 (as of 21th feb, 2018), it has
support at Rs. 339 which is it’s 52 week low price too. On the top line it has
made high of Rs. 480. Hence as a rule of thumb it is a buy at current price
with a target of 475-480 (35% upside) with a
stop loss of Rs. 335-340. Risk reward ratio is highly favorable in this stock.
Threats;
Chennai Petroleum is a company that is in crude oil refining business and therefore heavily depended on crude prices.
Other
factors related to Chennai Petroleum
Mutual
Funds Holding (As of 20th Feb, 2018)
SCHEME
NO.
OF SHARES
Aditya Birla Sun Life Bal. 95 Fund (G)
1,963,018
Aditya Birla Sun Life Pure Value Fund (G)
1,389,428
Aditya Birla Sun Life Small and Midcap Fund
681,710
Aditya Birla Sun Life Frontline Equity Fund
313,295
*Broker’s View;
KR Choksey in it's research report said that they expect Chennai Petroleum to fetch an EPS of INR 68.48
for FY18E, INR 107.05 for FY19E and INR 124.95 for FY20E. While at CMP of INR 426,
the stock is trading at 3.98x of its FY19E earnings and at 3.41x of its FY20E
earnings. We recommend a BUY rating with a target price of INR 510. find detail report on chennai petro here here>>>
"No Shares are good but the price you enter makes it good"
NSE: SUZLON - 20th Feb, 2018 Closing Price 13.00
About Suzlon Energy Limited
Suzlon Energy is the pioneer and leader in renewable energy solutions business. Suzlon is the market leader in India with global presence in Asia, Australia, Europe, Africa, North and South America. Over the past two decades, Suzlon has expanded and strengthened its presence in 19 countries. The group has 15 manufacturing plants in India and China as joint venture. With dynamic employs more than 8,000 employees, Suzlon is proud to promote a culture that respects and empowers the community as the most valuable assets of the company. Suzlon Energy is the market leader in India with more than 100 wind turbines with an installed capacity of over 10 GW distributed in 9 countries. Suzlon is credited with the development of a number of Asia's largest operational offshore wind farms in Gujarat, Rajasthan, Maharashtra and Tamil Nadu. These Kutch (Gujarat) and Jaisalmer (Rajasthan) from Suzlon wind farm to date have a cumulative installation of about 1,200 MW each. Suzlon diverse customer portfolio includes companies from a wide range of industries, including private and public companies, energy suppliers and independent power producers. To Know more about Suzlon Energy Limited and its product portfolio you may visit its official site here>>>
Key numbers; (Standalone)
MARKET CAP (RS CR): 9,596.60
P/E: 44.42
BOOK VALUE (RS) : 1.23
DIV (%) : 0.00%
INDUSTRY P/E: 28.72
EPS (TTM) : 0.43
P/C : 25.13
PRICE/BOOK : 15.53
FACE VALUE (RS) : 2.00
*Source: moneycontrol as on 29-03-2017
Inception of a turnaround story.....The worst is over now
Cosmo
Filmsis
a multibagger stock which is actively traded in both the exchange of Indian
stock market. The company deals in Bi-axially Oriented Polypropylene
Films (BOPP Films) and it comes under Plastics sector. The company
has given whopping 300% return to its shareholders in 1 years
and around 2500% since September, 2000. Shares of multibagger company 'Cosmo
Films Limited' were trading around Rs. 11
to Rs. 13 in the year 2000 and in a range of Rs. 70 to Rs.90
in 2014-15.
About Cosmo Films Ltd
COSMO FILMS Ltd iswas established in 1976 to manufactureBi-axially Oriented Polypropylene Films (BOPP Films) for the first time in
India, Since inception Cosmo Films has well-maintained its
market share in Indian stock market. Cosmo Films is one of the
largest producer of thermal lamination films in the world. Currently the
company with manufacturing set up in India, Korea, Japan and US has customer
base spread across 80 countries.
Value
investors seeking multibagger return must keep this small cap on their
radar.
Almost all leading FMCG companies (ITC, HuL, Parle,Britannia etc.) and some others are the client of the company.
The company has given return of more than 275% in 1 year.
The
stock price of Cosmo Films was trading somewhere around 84 levels in
April,2015 to around 275 levels in March, 2016.
Cosmo
Films has made 52 H/L of rs. 322/73 as on the date.
Shares
of Cosmo Films is trading at 4.2 PE of Fy 17 earning.
Five
years average PE of the company is 8.37.
ET
has given 9 to 12 months
conservative target of Rs. 400/- at 3.9 PE of Fy18 earning, but seeing its
earning growth and previous track record one may hold for even higher
return.
At current market price of COSMO FILMS looks
attractive.
Technically
the stock is ready to give a clear break-out as it is hovering around 52
Week high.
update: 25th April, 2017
Hi Friends,
Several months have been passed since this post was published so just thought you should know some updates on the stock. Cosmo films is doing well as per our expectation. This has made a fresh 52 week high closed at 429.90 today on 25th April, 2017 and it gained 57% since recommendation (was trading at 273 when this was initially posted). We believe that it has still a huge upside potential for following reasons;
1. Fy 17 Q4 result is to be out soon and market sentiment regarding it's number is very positive which is being reflected in its price.
2. The Stock is still very attractive on valuation parameter with current P/E of 7.64.
3.Management expects strong volume growth in Fy18, Pankaj Poddar the CEO of the company said in interview with CNBC TV18 that the company expects strong volume growth in FY18 on account of capacity expansion in the fourth quarter of the current fiscal.
4. New specialty polyester plant of Cosmo films is all set to start functioning at Aurangabad in Maharashtra, We can expect increasing topline once production starts.
5. Technically beyond 431 it can go upto 500 in short term.
(Disclaimer: I am not a certified SEBI expert so investors are instructed to make their own assessment before acting on the information provided by this blog.) Top Search Keywords: Cosmo film share, Cosmo film value pick, Cosmo film multibagger, Cosmo film Small Cap handsome return, Small cap Jackpot shares - 2017. Hidden Gems in Small cap NSE stocks 2017. Multibagger stocks investment for 2020. Small Cap Stock which delivered 2500% Return. 100 bagger stock for investment in 2017 for 2020.
