Shares in British oil and gas firm Cairn Energy surged 23% on Tuesday after the company announced its second big onshore find this year in India. Shares in the firm have already seen huge rises since news in January of an oil discovery in Mangala field located in Rajasthan in north-west India. The Mangala field has an estimated 450 million to 1,100 million barrels of oil and potential reserves of between 50 million to 200 million barrels. The finds "were look-alikes, but now we can see the second one is not going to be as big," said analyst Peter Hitchens of brokerage Cheuvreux. The company’s chief executive Bill Gammell said the Mangala field alone could produce 50,000 barrels a day. "In India they only produce around 600,000 barrels a day and import around 1.5 million," he said. "That’s a great incentive for us to develop and produce as much oil as we can in Rajasthan."
I had missed the news that India had discovered oil. Guess this area will soon be declared the 5,276th holiest site in islam. |