Reliance and oil findings

Posted: July 11, 2004 in Uncategorized

Reliance found oil.. yet again..

It happened a day or two before their annual general meeting.

Last year also, the timing was just about similar. A few days before their results were to be announced, came the announcement of an oil find.

What timing.. what luck.. wow… some people have it all!

A business publication reported that Reliance has a more than 50% strike rate in oil finds, for all the prospecting that they are doing. Unbelievable eh? This is better than the world’s best strike rates.

So will they keep finding more and more oil, year after year?

Will they keep doing so, close to each AGM or whenever the stock needs a little pushing up?

And will the common investor remain a sucker each time?

Is the Ambani name as strong a pull on the bourses, even after Dhirubhai, as the Gandhi name is at the polls, even so many years after Indira??

I wonder..

  1. ppov says:

    Bottom line is they found the oil! Of course announcing it two days before an AGM is clever manipulation but well all companies do such stuff.

    But when they really found the oil doesn’t matter… the timing is obvioulsy attention getting …but the fact still remains that they found oil.Which is good news for all the stakeholders of the company.

  2. ppov says:

    One more thing:

    If Sonia and Rahul with no experience and no knowledge can drive the people of india the highly educated and extremely intelligent Mukesh and Anil can pull the market their direction very easliy!

  3. SPM says:

    1. Do they really discover oil as they claim? Who is there to validate? In any case, it takes years before its value is to start reflecting in terms of real revenues. People would have forgotten all the claims made many years back. At this time, the boost to the stock price is received, and purpose is served!

    2. If they do strike oil so regularly, one wonders if these were not wells of say, ONGC, where oil was already struck, but later, claiming that the well was sold out to Reliance (why is the Oil and Petroleum Ministry so pricey?), who then “(re)discovered” the oil there! Anything is possible in India. People are too naive to really understand such big time games being played!

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