Investors boost Vedanta shares over 4% on new discovery

Dalal Street kicked off today's session in good mood, with Sensex and Nifty 50 regaining losses of previous two trading days. In midst of all this, investors were quite optimistic on Vedanta as they boosted its share price by more than 4% with an intraday high of Rs 233.40 per piece on BSE so far. At around 11:24 hours, the share price was trading at Rs 231.40 per piece above Rs 7.65 or 3.42% on the index. 

The rise in Vedanta shares came in after when the company informed stock exchanges over a hydrocarbon Discovery during drilling. 

The company said, "Vedanta Limited has notified the Management Committee, Ministry of Petroleum and Natural Gas and Directorate General of Hydrocarbons (DGH) of a hydrocarbon Discovery in well A3-2 within its operated block KG-OSN-2009/3 within Krishna-Godavari Basin, East Coast of India."

Vedanta Limited holds 100% participating interest in the block.

A3-2 is the first exploration well drilled within the KG-OSN-2009/3 block. Multiple reservoir zones were encountered in the Mesozoic rift formation between the depths of 3351-3944m MDBRT with indications of hydrocarbon during drilling and formation evaluations. 

As per Vedanta, down hole formation tester (MDT) sampled oil and gas from the zones of interest. The zone from 3610-3715m MDBRT flowed gas to surface during well testing. Further appraisal will be required to assess the potential commerciality of this Mesozoic rift discovery.