Q.
I got this from the internet
Investors never think twice before betting their money on Mukesh Ambani. Now that crude oil prices are touching record highs, his yet-to-be-operational, Reliance Petroleum has set Dalal Street on fire and left traditional Public Sector Undertaking (PSU) refiners far behind. Reliance Petroleum now has a market cap of Rs 1.17 lakh crore with a capacity of only 29 million tones. The figure is quite high in comparison to the combined market cap of IOC, BPCL, HPCL, MRPL, Essar Oil, Chennai Petroleum and Bongaigaon Refinery and their total capacity.
More interestingl
About: Company: Reliance Petroleum Ltd.
Asked by sheru,
27 Aug '08 11:48 am
Earn 10 points for answering
Answers (6)
1.
Thank you for the information RPL will starts production in Oct 2008 then its target price will be 440
RPL will starts production from October 08, 2008 ahead of its initial schedule of Dec 2008 which has been announced by Mr. Mukesh Ambani. According to him they already start exploration from Krishna Godavari unit which he said capacity of 550,000 barrels per day. This will avoid RPL from depnding international crude market which sees volatality.
Reliance Petroleum Ltd. will commence production of petroleum products from its new refinery at Jamnagar in Gujarat from October 2008. The refinery will reach full production capacity of 0.58 million barrels per day by December 2008. The company has commenced testing at the new refinery.
COMPANY OVERVIEW
Reliance Petroleum Limited focuses on setting up a greenfield petroleum refinery and polypropylene plant at Jamnagar in the state of Gujarat in western India. It has a strategic alliance with Chevron India Holdings Pte Limited. The compa
...more
Answered by NAGARAJ, 23 Sep '08 01:39 am
Report abuse
Useful
(0)
Not Useful
(0)
Your vote on this answer has already been received
2.
RPL is for long term Investors. This is one of the best shares in the market. The company is scheduled to start production in Dec 2008. However, best efforts are being put in by Mukesh Ambani, with 7500 Engineers and 1 lakh plus work force to commence production some time in Mid of Sept -2008 - which will be a world record for such quick implementation. Immediately the stock will hit 700 ++.
They have the best business plan. They will refine heavy crude ( which they will source very cheaply from Africa and C. Asia-- already done-- which is much below OPEC prices) and covert to premium gasoline which they sell at premium in America and Europe and high prices. Refining margings are expected at min 20 US$ / barrel and due to the process advantage they have ( REFINING CHEAP CRUDE AND SELLING AT PREMIUM) and being in SEZ , the margin may even be 30 US/ BARREL;
Now , look at the numbers:
580,000 ( BARRELS PER DAY- cvapacity) X US20 (per barrel-- min refining margin) x 335 ( days per year
...more
Answered by ashol, 02 Sep '08 12:07 pm
Report abuse
Useful
(0)
Not Useful
(0)
Your vote on this answer has already been received
3.
Once the production starts before end of the year the outcome is 5.8 lac barrels per day.
i am trying to do a simple maths here.
if profit is $15 per barrel.then580000 bpd =8700000$ per day.
which is 3175500000$ per anum
which is 13337.10 INR crore per anum (@42)
total shares of RPL = 450, CRORE
earning per share =29.63 INR
at P.E =10
RPL should trade at RS.300 - Rs.450 - as per the estimate MAR 2009 -
Answered by Sudhakaran, 29 Aug '08 02:50 pm
Report abuse
Useful
(0)
Not Useful
(0)
Your vote on this answer has already been received
4.
Report abuse
Useful
(0)
Not Useful
(0)
Your vote on this answer has already been received
5.
Report abuse
Useful
(0)
Not Useful
(0)
Your vote on this answer has already been received