Latest news with #Vedanta
Economic Times
a day ago
- Business
- Economic Times
Asian Energy Services shares rally over 11% in 2 days after Rs 865 crore order from Vedanta
Shares of Asian Energy Services climbed for a second straight session on Tuesday, July 29, rising as much as 3.8% intraday to Rs 317.85 on the BSE, extending gains to 11.5% over two days. The rally comes after the company announced on Monday that it had secured an Rs 865 crore Integrated Service Contract from metal and mining conglomerate Vedanta Limited. ADVERTISEMENT In an exchange filing, Asian Energy Services said the contract will be executed over 57 months. The scope of work includes field development and Operations & Maintenance (O&M) services. Kapil Garg, Managing Director of Asian Energy Services, said, 'We feel privileged to have secured the Integrated Service Contract for field development and Operations & Maintenance (O&M) from Vedanta, a valued and loyal client.' He said, 'This ongoing partnership demonstrates the trust established through reliable service and a commitment to operational excellence.' Asian Energy Services provides end-to-end upstream oil and gas services, including 2D and 3D seismic geographical data acquisition, production enhancement, and O&M of onshore and offshore production facilities. It also offers mining-related solutions such as material handling plant installation and rapid loading systems. Despite the recent uptrend, Asian Energy Services shares are still down 18% in 2025 so far and have fallen 8.4% over the past 12 months. However, the stock has risen 11% in the past three months and gained 5.7% in the last one month. Over a longer horizon, the small-cap multibagger has surged 138% in two years and 239% in five years. ADVERTISEMENT On the technical front, the stock is trading above seven of its eight key simple moving averages (SMA), including the 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, and 150-day SMAs. It remains below its 200-day Relative Strength Index (RSI) stands at 57.6, indicating neutral momentum, while the Moving Average Convergence Divergence (MACD) at -0.6 continues to stay below the centre line, suggesting a bearish bias persists despite recent price action. ADVERTISEMENT Also read | Reliance Power shares down 15% in a month as ED probe drags. Can the stock reclaim Rs 70 amid volatility? (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
Yahoo
2 days ago
- Business
- Yahoo
Asian Energy Services secures $100m integrated service contract from Vedanta
Asian Energy Services, an integrated service provider to the energy and mining sectors, has secured an integrated service contract worth Rs8.65bn ($100m) from Vedanta. The order, which includes field development and operations and maintenance (O&M) services, will be executed over a period of 57 months. Asian Energy Services managing director Kapil Garg said: 'We are honoured to receive integrated service contract for field development and operations and maintenance (O&M) contract from Vedanta, one of our valued and long-standing client. This repeat engagement reflects the trust we have built through dependable service and a strong focus on operational excellence. 'Integrated O&M remains a core area of focus at Asian Energy Services and a key growth driver. Our ability to manage critical infrastructure safely and efficiently continues to make us a preferred partner in the energy sector. This mandate reaffirms confidence in our team's capability to consistently deliver in complex and challenging environments.' Since being acquired by Oilmax Energy Private, Asian Energy Services has expanded its business segments to enhance value across the energy and upstream oil and gas sectors, aiming to deliver long-term benefits for its investors and stakeholders, stated the company. Earlier in the month, Asian Energy Services was awarded a work order from Sun Petrochemicals for the hiring of services for 3D seismic data acquisition and processing in Gulf of Khambhat, Gujarat. The total contract value was approximately Rs460m and will be executed over a period of 12 months. Asian Energy Services offers integrated oil and gas services including 2D and 3D seismic geographical data acquisition; O&M of onshore and offshore oil and gas production facilities; and production improvement and mining services including supply and installation of material handling plants and rapid loading systems, added the company. In January, the Standing Committee of the National Board for Wildlife sanctioned Vedanta's Cairn Oil & Gas to undertake exploratory drilling in the eco-sensitive zone of Gibbon Wildlife Sanctuary in Jorhat district, Assam, India. "Asian Energy Services secures $100m integrated service contract from Vedanta" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Time of India
5 days ago
- Automotive
- Time of India
Vedanta Aluminium expands foundry alloy capacity by 120 KTPA at Jharsuguda
Vedanta Aluminium has announced an expansion of its Primary Foundry Alloy (PFA) capacity at its Special Economic Zone (SEZ) facility in Jharsuguda, Odisha, by 120 kilo tonnes per annum (KTPA). The company was the first in India to produce and supply PFAs to the domestic market and aims to strengthen India's position in the global automotive and engineering aluminium supply chain. PFAs are widely used in the manufacturing of automotive components such as alloy wheels, engine blocks, cylinder heads, and transmission housings. According to the company, these materials are suited for modern vehicles focused on fuel efficiency and emission control. Vedanta stated that its PFAs meet international quality standards, including those linked to BS-VI and CAFE regulations. Market outlook and technology deployment The global PFA market is growing at 5.8 per cent CAGR, while India's demand is currently rising at 6.5 per cent. Projections suggest this may increase to 7 per cent over the next five years, with support from government initiatives like Make in India, the PLI scheme, and the growth of electric vehicles . Rajiv Kumar, CEO, Vedanta Aluminium, said, 'The expansion of our Primary Foundry Alloy capacity is a significant milestone in our journey to enhance value for our customers and position India as a global hub for advanced aluminium solutions, strengthening the Aatmanirbhar Bharat mission.' Sunil Gupta , COO, Vedanta Aluminium, added, 'As we broaden our portfolio of value-added products, we are not only supporting the shift towards lightweight, fuel-efficient vehicles but also contributing to the growth of indigenous manufacturing and reducing India's reliance on imports.' To support the capacity expansion, Vedanta has installed casting equipment from Befesa, Spain, including in-line metal treatment, degassing systems, and vertical chill casting technology. The company aims to supply markets in Europe, North America, and Asia alongside domestic customers.
Indian Express
7 days ago
- Business
- Indian Express
Hindustan Zinc pays out as dividend more than it earns, alleges US research firm Viceroy
US-based Viceroy Research has alleged that Hindustan Zinc Ltd (HZL), belonging to the Vedanta group led by Anil Agarwal, has paid out far more in dividends than it earned, purportedly borrowing to make up the shortfall. The research house has estimated a shortfall in free cash flow (FCF) of HZL — once a public sector firm — in the first quarter ended June 2025 to be around Rs 3,600 crore ($371m). 'HZL CFO Sandeep Modi's 'Rs 10,000 crore ($1.17b) free cash flow' claim collapses under scrutiny. Cash flows are subsidized by debt. If HZL's dividend remains the same as last year, we estimate HZL will incur an annual FCF shortfall of at least Rs 5,000 crore ($580m) and must be funded by more debt,' it said. When contacted, HZL spokesperson said. 'the Viceroy report is a combination of selective misinformation and baseless allegations. All resolutions are detailed and part of Board undertakings which are taken to them after rigorous due diligence. In the past 20 years the company's zinc production capacity has grown more than 4 times and silver by 20 times.' 'Hindustan Zinc is steered through a stringent governance framework wherein all matters are taken to the Board and this process is followed for all proposals,' HZL said. Viceroy alleged that HZL has not generated Rs 10,000 crore in FCF since 2023, at which point FCF has fallen sequentially. On an annualized run rate: we expect HZL FCF at Rs 7,000 crore. In FY 23, during a short commodities rally post covid, HZL generated Rs 12,000 crore FCF, and paid Rs 31,000 crore in dividends, accruing an enormous deficit. Leverage increased sharply vs Q1 2024, with the debt-equity ratio rising from 0.8x to 1.2x. FCF represents the amount of cash a business generates after accounting for capital expenditures needed to maintain or expand its asset base. In simpler terms, it's the cash left over after a company pays for its operating expenses and investments in equipment, property, or other assets. Vedanta acquired HZL from the government in 2002. Disclosures suggest HZL incurred Rs 2,000 crore ($232m) of new debt in the June quarter of FY26. HZL's auditor, SR Batliboi, failed to investigate material concerns, relying entirely on management assertions while the company's capital base deteriorated and governance collapsed, Viceroy alleged. HZL spokesperson said it has become the world's largest integrated zinc producer and is amongst the top 5 primary silver producers. 'It has created immense stakeholder value through increase in market cap by more than 500 times, in addition to dividends to shareholders and exchequer contribution. HZL contributes nearly 35 percent of the declared dividend to the government treasury, including dividend to government and tax deducted at source (TDS),' he said. According to HZL, this quarter amidst commodity headwinds the company delivered beyond market expectations and registered record high first quarter mined metal production and lowest cost of production. In FY25, the company clocked its second-best profit, up 33% YoY. Hindustan Zinc's bank facilities and debt programmes are Crisil AAA rated highlighting our efficient & integrated operations, and strong financial risk profile. And this consistent performance reflects the growing trust of our stakeholders, HZL said. The research firm also questioned the brand fees paid out by HZL. In the earnings call, HZL's CEO Arun Misra 'credited offshore brand fees (paid in advance) as justifiable by past 'risks' undertaken by Vedanta as a shareholder of HZL. This is preposterous,' the research firm said. 'HZL CEO Arun Misra's defense of the controversial 3 per cent brand fee, a fee that results in hundreds of crores in annual payments to VRL (Vedanta Resources), was the centrepiece of his narrative during the Q1FY26 Earnings Call,' the US firm said. 'We reiterate our belief that this 'brand fee' is an uncommercial contract with VEDL (Vedanta Ltd), who does not appear to provide any brand, management, or other auxiliary services to HZL. There are no employees or substantial operations at VRL to justify brand fee payments,' Viceroy said. 'Vedanta's shares in HZL bear the same risk as every other equity holder, including the government of India. If anything, it is the non-promoter shareholders that have borne the outsized risk of HZL taking outsized loans to bail out promoters,' it alleged. HZL said 'Vedanta' is a prominent global brand in the natural resources sector and the brand is a registered intellectual property of Vedanta Resources. 'HZL and other group companies use the brand under a brand license/sub-license agreement and pay a Board-approved brand and strategic services fee for its usage. This structure reflects a standard intercompany licensing model used globally by diversified groups and is fully compliant with Indian accounting, tax and governance regulations, and follows internationally accepted practices,' HZL spokesperson said.
Business Upturn
23-07-2025
- Business
- Business Upturn
Vedanta declared preferred bidder for Janthakal iron ore mine in Karnataka
By Aditya Bhagchandani Published on July 23, 2025, 15:22 IST Vedanta Limited has been declared the preferred bidder for the Janthakal Iron Ore Mine in Karnataka, as per a notification received on July 22, 2025. The company informed stock exchanges today under Regulation 30 of SEBI (LODR) regulations. The Department of Mines & Geology, Government of Karnataka, had invited tenders through its Notice Inviting Tender dated October 3, 2024, to auction the mining license for the Janthakal Iron Ore block. After qualifying at the initial bid stage, Vedanta participated in the live e-auction process and emerged as the highest bidder. The Janthakal Iron Ore Mine, located in Karnataka, spans an area of 71.16 hectares and is classified as a G3-level exploration block. Vedanta clarified that the final grant of the mining license is subject to the company meeting the conditions outlined in the tender document. This includes submission of the performance bank guarantee, securing necessary approvals and clearances from government authorities, and executing required agreements. The company stated it remains committed to fulfilling all formalities to move toward operationalizing the block. For the record, the declaration of Vedanta as preferred bidder marks another step in the company's strategy to strengthen its iron ore resource base in India. Ahmedabad Plane Crash Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
