Abban Offshore blows hot as Great Offshore sets on Norwegian expedition

Aban Offshore had surged 5.4% to Rs 2717.80 at 12:21 IST on reports that Great Offshore was close to buying Norwegian firm Petrojack SA.

Great Offshore had moved up 0.99% to Rs 779.95.

The BSE Sensex, meanwhile, was up 352 points, or 2.49%, to 14,497, tracking firm global markets after the US Federal Reserve slashed the discount rate at which it lends to banks by half a percentage point to 5.75% to tackle liquidity problem.

On BSE, 12,962 shares were traded on the counter today. The scrip had an average daily volume of 32,892 shares in the past one quarter.

Shares of India's fifth largest oil exploration and allied services company by sales had hit a high of Rs 2769 and a low of Rs 2690.05 so far during the day. They had touched a 52-week high of Rs 3179.90 on 13 July 2007 and a 52-week low of Rs 1010 on 30 October 2006.

Aban Offshore had underperformed the market over the last one month to 17 August 2007, declining 14.66% compared to the Sensex's fall of 9.06%. It had outperformed the market over the past quarter, rising 5.59% compared to the Sensex's decline of 1.13%.

From a recent high of Rs 3001.65 on 31 July 2007, the scrip declined 14.09% to Rs 2578.50 on 17 August 2007.

The company's current equity is Rs 7.39 crore, with 3.69 crore outstanding shares of face value of Rs 2.

The current price of Rs 2717.8 discounts its Q1 June 2007 annualised EPS of Rs 31.9 by a PE multiple of 85.19.

Reportedly, Great Offshore is close to buying Norwegian firm Petrojack SA for about $500 million. Aban holds 18.04 % in Petrojack.

Aban Offshore announced on 9 August 2007 it has received a letter of award from a leading exploration and production company in South Asia for deployment of the new built jack-up rig Deep Driller 4 for period of 12 months. The estimated revenue for the period of deployment would be approximately $80 million. The fig is likely to commence operations by fourth quarter of calendar year 2007.

Aban Offshore announced on 12 July 2007, that Hardy Exploration & Production (India) Inc (HEPI) has extended the contract for utilisation of its floating production unit Tahara Japan for a further two years from 28 July 2007. The revenue estimated during the extended period amounts to $63.875 million, the company said