Aban Offshore shares gain nearly 5% as arm receives order from ONGC

Aban Offshore shares surged nearly 5 per cent intraday on Monday on reports that a unit of the company has received a contract from ONGC for the deployment of drillship Aban Abraham for a period of 2 years.

At 10.02 am, shares of Aban Offshore were trading 3.46 per cent up at Rs 206.20. The scrip opened at Rs 204.20 and has touched a high and low of Rs 208.75 and Rs 204.20, respectively, in trade so far. Sensex was down 18 points, or 0.07 per cent, at 26,379.26.

According to reports, the expected revenues from the deployment estimated at $87 million and it is expected to begin in the fourth quarter of the ongoing calendar year.

For the quarter ended March 31, 2016, Aban Offshore reported a consolidated net loss of Rs 119.80 crore against net profit of Rs 113.54 crore in the corresponding quarter a year ago.

In the past one year, shares of Aban Offshore dipped 37.82 per cent to Rs 199.30 on June 30, whereas BSE Sensex slipped 4.80 per cent during the same period.

Oil and Natural Gas Corporation Limited (ONGC)