GAIL (India) Limited and Coal India Limited (CIL) have entered into a joint venture agreement to establish a Coal to Synthetic Natural Gas (SNG) project at Eastern Coal Field. The announcement was made on Monday.
What Happened: The joint venture aims to set up an SNG plant at Eastern Coalfield Limited (ECL), Bardhaman, West Bengal. CIL will hold a majority stake of 51% in the joint venture, with GAIL holding the remaining 49%.
See Also: India Vix Shoot Up Over 60 Amid Global Market Meltdown
The joint venture will have an initial paid-up share capital of ₹1 lakh. The authorised share capital of the joint venture company will be ₹11 crore, comprising 1.1 crore equity shares at ₹10 each. The registered office of the joint venture company will be located in West Bengal, India.
Both GAIL and Coal India will have the right to nominate three executives each as directors of the joint venture company.
Last week, Coal India reported a 4.24% year-on-year jump in its net profit to ₹10,943.55 crore. Its revenue was up 1.33% from the previous year to ₹36,464.61 crore.
Price Action: Both companies were in the red amidst the market route on Monday.
GAIL plummeted 5.45% to ₹224.10, Coal India plunged 3.58% to ₹505.70.
Read Next: Google Amazon Phonepe Are Game To Try Out Rbis Digital Rupee Report
Engineered by Benzinga Neuro, Edited by Nivedita Hazra
The GPT-4-based Benzinga Neuro content generation system exploits the extensive Benzinga Ecosystem, including native data, APIs, and more to create comprehensive and timely stories for you. Learn more.
Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.