Reliance Industries gains ahead of earnings

Last Updated: Wed, Jan 16, 2013 12:15 hrs

Shares in Reliance Industries ended up 1.7 percent, after rising as much as 2.8 percent in trade, as rival Essar Oil Ltd said it swung to a net profit in the October-December quarter, with gross refining margins at a healthy $9.75 a barrel.

Dealers say Essar results point to potentially improving refining margins at Reliance when it posts results on Friday.

Reliance is expected to report its first profit increase after four quarters of declining profits, according to consensus of analyst estimates, Thomson Reuters Starmine data showed.

Reliance shares also gain after a Press Trust of India report carried in the Business Standard newspaper says recent recommendations from a government-appointed panel to look at gas pricing will be submitted to the cabinet for consideration, citing ministry sources.

Those recommendations are expected to lead to higher gas prices.

Reliance declined to comment on the matter.

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