MUMBAI (Reuters) - State-run explorer Oil & Natural Gas Corp reported a 24.5 percent fall in first-quarter net profit, lagging estimates, as a rise in crude oil prices meant it had to make higher subsidy payouts.
ONGC (ONGC.NS : 1246.55 -13), which is looking to buy BP's assets in Vietnam, posted April-June net profit of 36.61 billion rupees ($785.6 million), down from 48.48 billion rupees a year earlier.
A Reuters poll had forecast net profit of 42.6 billion rupees.
ONGC is required to partially subsidise the sale of fuel to state-run retailers, who sell fuel at government-set, below-market prices, which affects its profit.
The government recently deregulated gasoline prices and has said it would free diesel prices as well, but clarity on the subsidy-sharing mechanism for other fuels has still not emerged.
ONGC and state-backed PetroVietnam are expected to submit a joint formal offer within weeks to buy BP's stake in the Nam Con Son gas project, Oil Secretary S. Sundareshan said on Tuesday.
ONGC shares fell 1.1 percent to 1,242.50 rupees ahead of the results, while the broader Mumbai market gained 0.2 percent
Success in my Habit
Thursday, July 29, 2010
Reliance, Essar eye BP's Africa retail ops - sources
NEW DELHI/MUMBAI (Reuters) - BP Plc is in talks with Reliance Industries (RELIANCE.NS : 1010.15 -11.1) and Essar Group to sell its African retail assets that could be worth as much as $500 million, four sources with direct knowledge of the matter told Reuters on Wednesday.
It was not immediately known whether BP was showing the African assets to other potential buyers.
BP plans to sell $30 billion of assets over the next 18 months to cover costs related to the worst oil spill in U.S. history.
Reliance Industries, India's largest listed conglomerate, declined to comment, while a spokesman for steel-to-shipping conglomerate Essar said "We don't comment on speculations."
BP intends to sell its marketing business in Namibia, Malawi, Tanzania and Botswana and focus on South Africa and Mozambique.
Billionaire Mukesh Ambani-controlled Reliance, whose interests include petrochemicals, refining, oil and gas exploration, and retail, is expanding its presence overseas by investing in new areas such as shale gas.
The Essar Group, controlled by billionaire brothers Shashi and Ravi Ruia, is also nursing ambitious expansion plans and recently raised $1.95 billion through an initial public offering of its energy and power businesses in London.
In September 2007, Reliance acquired Gulf Africa Petroleum Corp (GAPCO), an east African oil retailer, to gain access to the rapidly growing economies of the region and a growing demand for petroleum products.
"Reliance is looking into this opportunity as it has a presence in the African continent through GAPCO," one of the sources said.
All the sources declined to be named as they were not authorised to speak to the media.
BP's planned asset sales are aimed at helping it pay for its liabilities and create a leaner company with the potential for higher growth. The company agreed to a $7 billion sale of oil and gas fields to Apache Corp last week.
State-run explorer Oil and Natural Gas Corp and state-backed Petrovietnam are expected to submit a joint formal offer within weeks to buy BP's stake in the Nam Con Son gas project in Vietnam, India's oil secretary, S. Sundareshan said on Tuesday.
It was not immediately known whether BP was showing the African assets to other potential buyers.
BP plans to sell $30 billion of assets over the next 18 months to cover costs related to the worst oil spill in U.S. history.
Reliance Industries, India's largest listed conglomerate, declined to comment, while a spokesman for steel-to-shipping conglomerate Essar said "We don't comment on speculations."
BP intends to sell its marketing business in Namibia, Malawi, Tanzania and Botswana and focus on South Africa and Mozambique.
Billionaire Mukesh Ambani-controlled Reliance, whose interests include petrochemicals, refining, oil and gas exploration, and retail, is expanding its presence overseas by investing in new areas such as shale gas.
The Essar Group, controlled by billionaire brothers Shashi and Ravi Ruia, is also nursing ambitious expansion plans and recently raised $1.95 billion through an initial public offering of its energy and power businesses in London.
In September 2007, Reliance acquired Gulf Africa Petroleum Corp (GAPCO), an east African oil retailer, to gain access to the rapidly growing economies of the region and a growing demand for petroleum products.
"Reliance is looking into this opportunity as it has a presence in the African continent through GAPCO," one of the sources said.
All the sources declined to be named as they were not authorised to speak to the media.
BP's planned asset sales are aimed at helping it pay for its liabilities and create a leaner company with the potential for higher growth. The company agreed to a $7 billion sale of oil and gas fields to Apache Corp last week.
State-run explorer Oil and Natural Gas Corp and state-backed Petrovietnam are expected to submit a joint formal offer within weeks to buy BP's stake in the Nam Con Son gas project in Vietnam, India's oil secretary, S. Sundareshan said on Tuesday.
Wednesday, July 28, 2010
BHEL, GE unit sign pact for oil, gas compressors
New Delhi: Bharat Heavy Electricals Ltd (BHEL) and a unit of GE have signed a 10-year licensing pact to manufacture oil and gas compressors. GE's range of centrifugal compressors will be manufactured under license at BHEL's production site in Hyderabad, for sale in India and South Asia, GE said in a statement. It did not disclose financial details of the transaction.
The agreement for the compressor units was signed through GE Oil & Gas' Italian entity Nuovo Pignone. The units are vital to infrastructure development projects, including oil and gas production and transportation, refinery and petrochemical industry applications, and fuel gas boosting.
The technical scope of the licensing agreement provides for the licensing of GE's advanced range of centrifugal compressors, specifically several models of horizontally- and vertically-split, pipeline and integrally gear compressors.
Based on a previous licensing agreement in place with GE Energy since 1986, BHEL is already successfully partnering on the manufacture and sale of GE gas turbines for power and water applications. Wednesday's agreement also builds on a successful licensing arrangement for similar units held between Nuovo Pignone and BHEL from 1971 to 1992, the statement said.
The agreement for the compressor units was signed through GE Oil & Gas' Italian entity Nuovo Pignone. The units are vital to infrastructure development projects, including oil and gas production and transportation, refinery and petrochemical industry applications, and fuel gas boosting.
The technical scope of the licensing agreement provides for the licensing of GE's advanced range of centrifugal compressors, specifically several models of horizontally- and vertically-split, pipeline and integrally gear compressors.
Based on a previous licensing agreement in place with GE Energy since 1986, BHEL is already successfully partnering on the manufacture and sale of GE gas turbines for power and water applications. Wednesday's agreement also builds on a successful licensing arrangement for similar units held between Nuovo Pignone and BHEL from 1971 to 1992, the statement said.
French investments in India to touch Rs 60,000 cr by 2012
Chennai: Investments by French companies in India are expected to touch Euro 10 billion (around Rs 60,000 crore) by 2012, and would be focused on automobile, energy and environment sectors among others.
Speaking to Business Standard, Jean Leviol, minister counsellor for economic, trade and financial affairs at the French Embassy in India, said that there were about 750 permanent French establishments in India, employing nearly 2,00,000 Indians, a fifth of them as engineers in French IT companies. The number was around 50,000 in 2005.
He said, “between 2008 and 2012, we expected French companies to invest Euro 10 billion. It is very much on track.”
On the other hand, Indian companies in France had invested around Euro 500 million (around Rs 2,975 crore) between 2005 and 2010, he said. Currently 90 Indian companies are operating in France.
These investments were mainly driven by IT majors and pharmaceutical companies, “but now Indian companies are showing interest in mechanical engineering, plastic, medical devices and forging”, he added.
Willing to help UID project
The French government is willing to share its experience and expertise for India’s Unique Identification Number (UID) project. Jerome Bonnafont, Ambassador of France, said that “we would be very happy to be partners in this [UID] project, since we have the experience of implementing a similar project in France”.
In France, he said, it had begun as a Personal Identity Number system began in 1941 to organise recruitment of men in the army and subsequently evolved as an important tool for the social security among other uses.
Speaking to Business Standard, Jean Leviol, minister counsellor for economic, trade and financial affairs at the French Embassy in India, said that there were about 750 permanent French establishments in India, employing nearly 2,00,000 Indians, a fifth of them as engineers in French IT companies. The number was around 50,000 in 2005.
He said, “between 2008 and 2012, we expected French companies to invest Euro 10 billion. It is very much on track.”
On the other hand, Indian companies in France had invested around Euro 500 million (around Rs 2,975 crore) between 2005 and 2010, he said. Currently 90 Indian companies are operating in France.
These investments were mainly driven by IT majors and pharmaceutical companies, “but now Indian companies are showing interest in mechanical engineering, plastic, medical devices and forging”, he added.
Willing to help UID project
The French government is willing to share its experience and expertise for India’s Unique Identification Number (UID) project. Jerome Bonnafont, Ambassador of France, said that “we would be very happy to be partners in this [UID] project, since we have the experience of implementing a similar project in France”.
In France, he said, it had begun as a Personal Identity Number system began in 1941 to organise recruitment of men in the army and subsequently evolved as an important tool for the social security among other uses.
Q1 numbers show revenues, profits growing faster
Raw material costs seen easing as global demand for commodities weakens.
Raw material costs for India Inc are beginning to ease, if the initial set of earnings numbers for the first quarter of the current financial year is any indication.
The pace of growth in revenues and profits appears to be picking up, going by the numbers reported by over 300 companies.
Banks and financial institutions have been excluded while drawing up this picture.
Raw material costs for companies had been on an upswing from late 2009 on the back of rising commodity prices. However, with China intent on cooling its economy and the European crisis unfolding, the global demand scenario for commodities has weakened. This has resulted in the prices of key inputs such as steel and base metals either flattening out or correcting.
The quarter under review saw a 13 per cent decline in raw material spends of the 300 companies over the March ‘10 quarter. Raw material costs took away 30 per cent of sales in the June quarter compared with 34 per cent in the March quarter.
The base effect showed up with input costs still 28 per cent higher than last year levels. However, taking into account the movement of raw material quarter over quarter, cost pressure appears to be easing.
Other components such as staff costs, administration expenses and power costs also saw sizable increases this quarter. Costs of power and fuel, for instance, increased 23 per cent, having declined 15 per cent in the June 2009 quarter.
While such increases may seem rather hefty, as a percentage of sales, these costs have remained the same. Operating margins, therefore, are unlikely to come under pressure as a result of overhead increases. The same goes for interest costs.
While increasing 22 per cent in the June quarter, interest costs have remained at 1.6 per cent of sales, allowing for stable net margins.
Revenue growth
The biggest good news from the initial numbers comes from sales. Net profits (adjusted) clocked a 19 per cent growth in the June ‘10 quarter against the 17 per cent growth in the June ‘09 quarter.
This time around, though, profit growth appears to be spurred by a growth in sales rather than a drop in costs, as was the case in June ‘09. Revenues registered a healthy 20 per cent growth (9.5 per cent).
Operating and net margins have remained more or less the same at 21 per cent and 14 per cent respectively.
Raw material costs for India Inc are beginning to ease, if the initial set of earnings numbers for the first quarter of the current financial year is any indication.
The pace of growth in revenues and profits appears to be picking up, going by the numbers reported by over 300 companies.
Banks and financial institutions have been excluded while drawing up this picture.
Raw material costs for companies had been on an upswing from late 2009 on the back of rising commodity prices. However, with China intent on cooling its economy and the European crisis unfolding, the global demand scenario for commodities has weakened. This has resulted in the prices of key inputs such as steel and base metals either flattening out or correcting.
The quarter under review saw a 13 per cent decline in raw material spends of the 300 companies over the March ‘10 quarter. Raw material costs took away 30 per cent of sales in the June quarter compared with 34 per cent in the March quarter.
The base effect showed up with input costs still 28 per cent higher than last year levels. However, taking into account the movement of raw material quarter over quarter, cost pressure appears to be easing.
Other components such as staff costs, administration expenses and power costs also saw sizable increases this quarter. Costs of power and fuel, for instance, increased 23 per cent, having declined 15 per cent in the June 2009 quarter.
While such increases may seem rather hefty, as a percentage of sales, these costs have remained the same. Operating margins, therefore, are unlikely to come under pressure as a result of overhead increases. The same goes for interest costs.
While increasing 22 per cent in the June quarter, interest costs have remained at 1.6 per cent of sales, allowing for stable net margins.
Revenue growth
The biggest good news from the initial numbers comes from sales. Net profits (adjusted) clocked a 19 per cent growth in the June ‘10 quarter against the 17 per cent growth in the June ‘09 quarter.
This time around, though, profit growth appears to be spurred by a growth in sales rather than a drop in costs, as was the case in June ‘09. Revenues registered a healthy 20 per cent growth (9.5 per cent).
Operating and net margins have remained more or less the same at 21 per cent and 14 per cent respectively.
Indian telecom user base up 17.98 mn in June
New Delhi: Telecom operators have added 17.98 million new users in June, taking the total telephone subscriber base in the country to 671.69 million.
The wireless subscriber base (GSM, CDMA and fixed wireless phones) reached 635.51 million by the end of June, from 617.53 million in May, registering a growth of 2.91 per cent, according to figures released by telecom regulator TRAI.
The overall teledensity reached 56.83 per cent.
The growth in the wireless category was led by Bharti Airtel, which added three million users, taking its subscriber base to 136.6 million. Vodafone added 2.71 million subscribers in June, taking its user-base to 109 million. Idea Cellular and Aircel added 2.15 million and 1.60 million new users, respectively, during the month. Reliance Communications added 2.83 million new users, while Tata Teleservices added 2.32 million subscribers.
State-run telcos BSNL and MTNL added 1.01 million and 43,881 new users, respectively.
The wireline subscriber base continued to decline and stood at 36.18 million in June from 36.39 million in the previous month. BSNL and MTNL hold 84.09 per cent of the wireline market share. The total broadband subscriber base increased 2.27 per cent to 9.45 million from 9.24 million in May, the report said.
The wireless subscriber base (GSM, CDMA and fixed wireless phones) reached 635.51 million by the end of June, from 617.53 million in May, registering a growth of 2.91 per cent, according to figures released by telecom regulator TRAI.
The overall teledensity reached 56.83 per cent.
The growth in the wireless category was led by Bharti Airtel, which added three million users, taking its subscriber base to 136.6 million. Vodafone added 2.71 million subscribers in June, taking its user-base to 109 million. Idea Cellular and Aircel added 2.15 million and 1.60 million new users, respectively, during the month. Reliance Communications added 2.83 million new users, while Tata Teleservices added 2.32 million subscribers.
State-run telcos BSNL and MTNL added 1.01 million and 43,881 new users, respectively.
The wireline subscriber base continued to decline and stood at 36.18 million in June from 36.39 million in the previous month. BSNL and MTNL hold 84.09 per cent of the wireline market share. The total broadband subscriber base increased 2.27 per cent to 9.45 million from 9.24 million in May, the report said.
Exports in June 2010 touches US$ 17.75 billion
New Delhi: The exports touched US$ 17.75 billion in June 2010, posting a 30.4 per cent growth as compared to the corresponding period in 2009. The exports witnessed a positive growth for the eighth consecutive month on the back of good results reflected by major sectors such as engineering, oil, iron ore, chemicals, gems and jewellery.
According to the Export Promotion Council for Export Oriented Units and Special Economic Zones (SEZs), the first quarter of 2010-11 witnessed 67.8 per cent higher exports from SEZs than in the corresponding period of the previous year.
As per a statement released by the Export Promotion Council, the first quarter exports from SEZs were US$ 12.48 billion.
According to the Export Promotion Council for Export Oriented Units and Special Economic Zones (SEZs), the first quarter of 2010-11 witnessed 67.8 per cent higher exports from SEZs than in the corresponding period of the previous year.
As per a statement released by the Export Promotion Council, the first quarter exports from SEZs were US$ 12.48 billion.
WASH THEM FIRST
WASH THEM FIRST
Please Don't Erase this message before forwarding on! Same applies to Beer.
This is a Serious Problem!
This incident happened recently in North Texas ..
A woman went boating one Sunday taking with her some cans of coke
which she put into the refrigerator of the boat.
On Monday she was taken to the hospital and placed in the Intensive Care Unit.
She died on Wednesday.
The autopsy concluded she died of Leptospirosis.
This was traced to the can of coke she drank from, not using a glass.
Tests showed that the can was infected by dried rat urine and
hence the disease Leptospirosis.
Rat urine contains toxic and deadly substances.
It is highly recommended to thoroughly wash the upper part
of all soda cans before drinking out of them.
The cans are typically stocked in warehouses and transported straight to the shops without being cleaned..
A study at NYCU showed that the tops of all soda cans are more contaminated than public toilets (i.e.). full of germs and bacteria. So wash them with water before putting them to the mouth to avoid any kind of fatal accident.
Please forward this message to all the people you care about.
Moderator,
tamilnaduconsumerprotection
Please Don't Erase this message before forwarding on! Same applies to Beer.
This is a Serious Problem!
This incident happened recently in North Texas ..
A woman went boating one Sunday taking with her some cans of coke
which she put into the refrigerator of the boat.
On Monday she was taken to the hospital and placed in the Intensive Care Unit.
She died on Wednesday.
The autopsy concluded she died of Leptospirosis.
This was traced to the can of coke she drank from, not using a glass.
Tests showed that the can was infected by dried rat urine and
hence the disease Leptospirosis.
Rat urine contains toxic and deadly substances.
It is highly recommended to thoroughly wash the upper part
of all soda cans before drinking out of them.
The cans are typically stocked in warehouses and transported straight to the shops without being cleaned..
A study at NYCU showed that the tops of all soda cans are more contaminated than public toilets (i.e.). full of germs and bacteria. So wash them with water before putting them to the mouth to avoid any kind of fatal accident.
Please forward this message to all the people you care about.
Moderator,
tamilnaduconsumerprotection
Tuesday, July 27, 2010
Vodafone to launch 3G services by year-end
MUMBAI: Vodafone Essar Limited, the Indian subsidiary of Vodafone Group Plc, aims to launch 3G mobile services by end-2010, a top company official said.
Broader services of 3G will be available by the first quarter of next year, he added.
"We are ready to launch 3G services in nine circles by this year-end. We are waiting for spectrum allocation. As soon as we get the spectrum, we will be able to launch our services," Vodafone Essar Chief Executive Officer and Managing Director Marten Pieters told reporters here today.
Vodafone had secured 3G spectrum in nine circles in the recent 3G auctions for Rs 11,617 crore. The circles included Delhi, Mumbai, Kolkata, Chennai and Tamil Nadu, Maharashtra & Goa, Gujarat, Haryana, Uttar Pradesh (East) and West Bengal, covering over 60 per cent of the company's current customer base.
"Vodafone Essar has secured a critical strategic footprint across the country, particularly in the markets where we expect the main demand for 3G services to be in the next few years. We expect a strong uptake for 3G in these markets, particularly among the higher value customers, which is a growing segment owing to rising affluence and increasing urban population," Pieters said, adding that the customer would have to pay more to get better 3G services.
Commenting on the Indus Tower IPO, Pieters said, "We are in de-merger process and are supporting the initial public offering of Indus Tower. But, it all depends on the financial market and other related issues."
In late 2007, India's top mobile operators -- Bharti Airtel, Vodafone Essar and Idea Cellular -- had decided to pool their resources and hive off their towers into an independent firm, Indus Towers, with over one lakh towers.
Vodafone Essar is also open to mergers and acquisitions, if they provide value to the company as well as shareholders.
"If it (M&A) is able to provide a good proposition to us, we will look into that. However, prices and regulations in the current situation are not favourable for mergers," Pieters added.
SpiceJet announces order for 30 new Boeing aircraft
NEW DELHI: A little over a month after announcing a change of management in favour of Sun TV's Kalanithi Maran, private budget carrier SpiceJet Tuesday said it will order 30 Boeing 737-800 aircraft to take its fleet size to 58 planes.
The deliveries for the new set of Boeing 737-800s will begin from 2014, while it is also expecting another seven to be dispatched till 2012, all adding to the current fleet size of 21 aircraft.
Thew airline also announced its first quarter results for the current financial year and said its net profit was up at Rs.55.2 crore, against Rs.26.3 crore in the like month of the previous year. Net sales were up at Rs.708 crore against Rs.525 crore.
"We are currently seeing a strong resurgence in domestic air traffic on the back of a robust macro-economic growth," said Kishore Gupta, director of SpiceJet aftrer a board meeting at the airline's headquarters in Gurgaon, in the outskirts of the capital.
"We expect domestic demand to grow at 16 percent during the current year and to sustain 12-14 percent annual growth in the medium-term. The growth will necessitate significant capacity induction," Gupta added.
The decision Tuesday follows SpiceJet announcing it was in the process of evaluating a far more aggressive fleet expansion over the next 18-24 months than originally planned in a bid to offer better value for money for customers.
The new aircraft will incorporate the new, spacious interiors with soft blue lighting, curving architecture and larger window that will offer a sense of spaciousness in the cabin and comfort for the passengers.
It will also offer larger stowage bins, where passengers can store their luggage closer to their seats, thereby reducing the anxiety they may have felt in the past, the budget airline said.
"Finally, the combination of noise-dampening material against the air plane's interior skin and the design of the new integrated air grille will make the cabin quieter for a more comfortable flight."
SpiceJet commands a little over 13 percent market share in India, delivering one of the lowest air fares. It operates 141 flights daily to 19 cities with 99.6 of its flights keeping its schedules.
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