Mumbai: Oil and gas sector stocks attracted buying on July 4 after reports said the Oil Ministry is likely to move the Cabinet Committee on Political Affairs soon with an expert panel recommendations of raising kerosene and cooking gas rates.
Shares of RIL gained 2.47 per cent to Rs 1,031.95, becoming the top gainer among the 30-Sensex stocks. Among others, Petronet LNG surged 4.11 per cent, Gail India 1.17 per cent, ONGC 0.88 per cent and Cairn India 0.80 per cent on the BSE. Similarly, IOC climbed 1.94 per cent, HPCL gained 1.80 per cent and BPCL was up 0.35 per cent. The BSE Oil and Gas index ended 1.67 per cent up.
The Oil Ministry is likely to move the Cabinet Committee on Political Affairs (CCPA) soon with an expert panel recommendations of raising kerosene price by Rs 4 a litre and cooking gas (LPG) rates by Rs 250 per cylinder. Endorsing the previous UPA government's monthly 40-50 paisa per litre increase in diesel prices, the ministry is likely to propose that the monthly revisions may continue till the present Rs 3.40 a litre loss on the fuel is fully bridged. If rates are not increased, state-owned oil firms are projected to end the current fiscal with Rs 1,07,850 crore of under recovery or revenue losses.
