MOIL shares advanced nearly 7 per cent in the early trade on Friday after it informed bourses that the company has been granted mining lease on over 48.974 hectare in village Lugma, Tehsil Paraswada of Balaghat District (Madhya Pradesh) by the government of Madhya Pradesh (MP). The said lease has been executed and registered by the company. This area falls under Ukwa Mine of the company.
Shares of MOIL were trading 5.34 per cent up at Rs 217.90. The scrip opened at Rs 209.95 and has touched a high and low of Rs 221 and Rs 209.95, respectively, in trade so far. Sensex was up 129.48, or 0.52 per cent, at 24,806.82.
The promoters holding in the company stood at 80 per cent while institutions and non-institutions held 9.81 per cent and 10.19 per cent respectively.
For the quarter ended December 2015, the company reported net profit of Rs 13.16 crore, down 87.85 per cent, against Rs 108.35 crore in the corresponding quarter a year ago.
In the past one year, the share price of MOIL skid 27.54 per cent to Rs 206.85 till March 17, whereas BSE Sensex slipped 14 per cent during the same period.
MOIL is the largest iron ore company in India and fifth largest in world. It currently operates seven underground mines (Kandri, Munsar, Beldongri, Gumgaon, Chikla, Balaghat and Ukwa mines) and three opencast mines (Dongri Buzurg, Sitapatore/Sukli, and Tirodi).