Energy stocks are trading mixed. Gujarat Gas (GGAS) and Essar Oil were up by 5.8% and 5% respectively. As per a leading financial daily, Oil and Natural Gas Corporation Ltd. (ONGC) has received the board's approval to acquire BG's group stake in three of its eastern offshore oil and gas exploration blocks. Post acquisition, ONGC will have 100% ownership in the block and BG will be left with just one deepwater block in the KG basin. ONGC plans to buy BG Group's 45% participating interest in Krishna-Godavari Basin, 25% interest in exploration block in the Mahanadi Basin and 30% stake in deep water block KG-DWN-98/4. The transactions will not result in cash outflow for ONGC. Instead, BG Group will be liable to pay US$ 50 m towards settlement of past costs that ONGC had earlier incurred on its behalf in the three blocks.
Majority of the auto ancillary stocks are trading higher with NRB Bearings and Ucal Fuel the biggest gainers. As per a leading financial daily, auto component manufacturer Bosch will be investing Rs 30 bn in India over the next three years. The investments will be used in capacity expansion and technology development to maintain its 20% plus growth over the next five years. The stock of Bosch was up by 1.13%. Another German company, Volkswagen has announced plans to invest Rs 20 bn in its Indian operations by 2013. The car-maker will be investing in capacity ramp-up, launch of new models and strengthening of research activities.