Mumbai: Shares of Reliance Industries Ltd (RIL) rose nearly 2 percent as new Petroleum Minister M Veerappa Moily Monday promised expeditious decision-making and said India should look at tripling oil consumption to boost economic growth.
After a bullish opening, shares of the energy major further gained 1.9 percent to Rs 814.20 on the BSE.
At NSE, the stock climbed 1.93 percent to Rs 814.40.
Rise in the heavyweight scrip helped push up the BSE 30- stock index, Sensex, to 18645.45 at 1300 hrs.
"Exit of Jaipal Reddy as oil minister would be positive (for RIL) and this is a sentiment driven up move. Also, the government may soften its stand against corporates considering elections," CNI Research CMD Kishore Ostwal said.
Buying was also seen in other oil and gas stocks. The oil and gas index was trading higher by 0.87 percent at 8467.50 at 1300 hrs.
After taking charge of the ministry following yesterday's Cabinet reshuffle, Moily promised expeditious decision making and said he would soon bring out a road map for bringing consumption up to 6 barrels per person, per year.
A veteran Congress leader from Karnataka, Moily, 72, replaced S Jaipal Reddy under whom the Ministry of Petroleum and Natural Gas was accused of being indecisive and almost halting oil and gas exploration.
Moily said his priority would be to intensify domestic oil and gas exploration to reduce import dependence that had played havoc with inflation.