Gandhar Oil Refinery shares zoom 17% on strong volumes amid US-Venezuela tensions

Shares of Gandhar Oil Refinery (India) soared 17% to hit an intraday high of Rs 177.60 on the BSE on Monday, driven by heavy trade volumes and potentially due to the rising geopolitical tensions involving the US and Venezuela, a country with significant oil reserves.The stock was trading at Rs 173.50 around 1 pm, up 14.26% from its previous close of Rs 151.85.The surge in price was accompanied by a sharp spike in trading volumes, with over 21 lakh shares changing hands compared to the two-week average of just 20,000 shares. The turnover stood at Rs 36.5 crore, highlighting heightened investor interest in the counter.The stock traded firmly within its price band of Rs 121.50 to Rs 182.20 for the day and remains comfortably above its 52-week low of Rs 120.60, though still below its 52-week high of Rs 222.80.The company’s market capitalisation stood at Rs 1,698 crore.Gandhar Oil Refinery, incorporated in 1992, is a key player in the white oils segment, serving both consumer and healthcare end-user industries. It is one of the top five global manufacturers of white oils and commands a 26.5% market share in India and 9.6% globally.While the company did not issue any exchange filing or announcement to trigger the sharp rally, market participants may have speculated that rising tensions between the US and Venezuela, a major oil-producing nation, may have pushed investors to turn bullish on domestic oil-related counters, with Gandhar Oil being one of the key beneficiaries due to its niche positioning and scale in the white oil segment.The developments come at a time when global crude markets are closely watching potential supply disruptions, making oil-linked plays on the domestic bourses increasingly attractive.Also read: BEL, HAL, other defence stocks jump up to 5% after US raids Venezuela(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)