Cairn India bounces back

Cairn India is doing well today morning, the stock up almost 3% at Rs.294, closer to its intra day high at Rs.295.45. It’s a long way off from its 52-week high at Rs.365.90.

The stock is up after the company today announced that following the Govt’s decision to allow exploration in mining lease areas, it had struck new oil discovery in Barmer field, Rajasthan. Though the company could not ascertain the volumes of the discovery at this stage, technical evaluations indicate that it could be around 10 meters of gross oil column within Dharvi Dungar sands in Raageshwari-Tukaram area. This is Cairn’s 26^th discovery in the Barmer block.