India : Sensex holds 27000 amid sell-off; banks, infra, oil stocks drag

Gujarat Gas shares surged 5 percent intraday on approval from the oil & gas regulator for further expansion of gas distribution network in Gujarat.

“Petroleum and Natural Gas Regulatory Board, on July 4, has granted authorisation to Gujarat Gas to lay, build, operate, or expand city or local natural gas distribution network (CGD network) in Panchmahal and Anand districts of Gujarat,” says the city gas distribution company in its filing.

As per the provisions of the PNGRB Regulation, the company has been granted 300 months of infrastructure exclusivity valid up to July 03, 2041 and 60 months of marketing exclusivity valid up to July 03, 2021 for each of the CGD network.

Anoop Kumar Mittal of NBCC said that the company has won contracts for redevelopment of 7 colonies in South Delhi. The company will be constructing Rs 25,000 crore worth of the total project. About Rs 6000 crore worth project will be undertaken by the Central Public Works Department, Mittal said.

The seed money for the project will come from NBCC, Mittal added, for which it would get an interest of 12 percent.

The company expects margins of Rs 2500 crore in five years. Revenue booking from this project will begin from FY17-18.

The selling pressure continued in the market on the back of profit booking and weakness in Asian peers.The 30-share BSE Sensex declined 105.59 points to 27095.90 and the 50-share NSE Nifty slipped 30.40 points to 8307.50. The market breadth remained negative as about 1344 shares declined against 887 advancing shares on Bombay Stock Exchange.

Banking & financials, oil & gas, infra, telecom and select metals stocks plummeted while healthcare and auto stocks gained.