Sorrow

Sorrow

Originally uploaded by Christolakis

What a depication of Mental state, elements?

Excellent pic..

Jubliant Organosys

Jubilant Organosys and Eli Lilly have entered into a 50:50 joint venture agreement in India, focusing on providing drug development services. This is a strategic collaboration which would be focusing exclusively on developing new drugs in the areas of oncology, metabolic disease, cardiovascular and diabetes. This Bangalore based joint venture will focus on developing molecules from the preclinical stage to the Phase II stage. Both the partners will jointly invest $8 million in this venture over the next three years.

By leveraging the expertise of Eli Lilly in the R&D capabilities, Jubilant would strengthen its drug discovery and development portfolio. Also, the partnering of global innovator such as Eli Lilly would boost the global acceptance for Jubilant’s CRAMS and accordingly result in an earning traction. Jubilant’s topline is expected to grow at a CAGR of 35 per cent and net profits at a CAGR of 26 per cent over FY08-10E, on account of robust growth prospects available across the CRAMS segment and better performance by Hollister. The stock currently trades at a P/E of 9x FY10E earnings.

Opto Circuits

Opto Circuits India (OCIL) recently cancelled the proposed $100 million acquisition of a European company, with which it had signed a letter of intent in September 2008. The reason cited is that the demanded price is not justifiable from an economic value perspective. This step is positive for OCIL, as it removes any uncertainty of possible balance sheet risk in the short term.

OCIL’s revenues are expected to grow at a CAGR of 54 per cent and net profits at CAGR of 42 per cent over FY08-10E, led by strong growth in the non-invasive as well as invasive businesses. The growth in the non-invasive business will be led by the recent Criticare acquisition—focusing on patient monitoring systems (PMS) and SpO2 sensors, while the invasive business is expected to show traction through stents and DIOR, used in angioplasty procedures.

OCIL, through its 100 per cent subsidiary EuroCor, has certification to sell its invasive products in 34 countries. Until now, OCIL has traded at a premium to the market because of high growth, healthy margins and upsides from potential acquisitions. However, with the recent market fall and overhang of large ownership by foreign institutional investors, the stock price has corrected more-than-warranted, making it attractive. At Rs 203, the stock trades at a P/E of 10.3x and 7.3x its FY09E and FY10E earnings, respectively.

Key infra sectors growth plunges to 2.3%

Growth in six infrastructure industries plummeted to 2.3% in August 2008 as compared to 9.5% a year ago i.e. in August 2007 including crude oil and petroleum refinery, showing depressing performance.

Crude oil showed a negative growth by 1% in August 2008 compared to a positive growth rate of 6.5% in August 2007.

Growth in petroleum refinery products fell sharply to 2.5% in August 2008 from 8.2%, The crude oil production registered a negative growth of 0.9% during April-August 2008-09 compared to 1% during the same period of 2007-08.

Coal production registered a growth of 5.9% in August 2008 compared to growth rate of 8% in August 2007. Coal production grew by 7.3% during April-August 2008-09 compared to an increase of 2.1% during the same period of 2007-08.

Electricity generation registered a growth of 0.8% in August 2008 compared to a growth rate of 9.2% in August 2007.

Cement production showed a growth of 1.9% in August 2008 compared to 16.7% in August 2007.

Finished (carbon) Steel production witnessed a growth of 4.4% in August 2008 compared to 9.6% in August 2007.

We have seen major downside in our markets since January 2008, we are seeing the effect of US sub prime & later collapse of financial institutions there. Our top politician made us to believe that Indian markets are insulated from the US. If these numbers are anything to go by writing is very clear on the wall….

Its not only sentiments and emotions but the very fundamentals that Indian economy is on target & may miss the mark by 1% seems hard to believe.

May be more pain still left to be seen…. Happy Investing

 

 

Why is God Laughing ?

Why Is God Laughing? tells the story of successful comedian Mickey Fellows and his friend Francisco as they explore how to overcome fear, egotism and addiction (which are the three major obstacles to joy) and become more optimistic.

The final chapter highlights how to conquer these obstacles in our own lives and open the door to real joy and happiness. It spells out the lessons that Mickey’s story tells us: ten reasons to be optimistic, even in a challenging world.

Rich with humour and practical advice, Why Is God Laughing? shows us there is always a reason to be grateful, that every possibility holds the promise of abundance, and that obstacles are simply opportunities in disguise.

Reliance starts production in Krishna-Godavari basin

In a significant development, Reliance Industries has begun crude oil production from the nation’s first deep-sea oilfield in Krishna Godavari basin, an accomplishment that the firm may announce in the next few days.

The company’s predominantly gas-rich D6 block in Krishna Godavari basin on September 17 flowed first oil, said a source in the consortium of Reliance Industries and Niko Resources of Canada which operates the block.

Block KG-DWN-98/3 or D6 will be the first area in deep-sea to produce crude oil since India opened up its oil hunt programme for private and foreign players in 1999 with the advent of New Exploration Licensing Policy (NELP).

The Mukesh Ambani-led group operates India’s largest refinery at Jamnagar in Gujarat and will start production from another only for exports unit in next couple of month. It will however not refine the D6 crude at its refineries and instead sell it to state refiners.

Reliance, the source said, has initially opened one of the two oil producing wells in the MA oilfield in the D6 block. “Oil flowed at the rate of 200 barrels per day but once system stabilises, the choke will be fully opened to produce more.” Once both the wells are in full operation, the output will rise to 10,000 to 15,000 barrel per day within weeks. Two more wells are planned to be drilled on the field which would raise the output to 34,000 barrels per day (1.7 million tones a year).

Reliance is likely to sell 0.8 to 1 million tonnes of oil from the field to Hindustan Petroleum’s Vizag refinery while the remaining output will go to Chennai Refinery, a subsidiary of Indian Oil Corp.

The company earlier this week successfully installed a floating production storage and offloading system (FPSO) on the oilfield.

Reliance invested $2.234 billion in the MA oilfield that is estimated to hold 53.5 million barrels of reserves and will produce oil for 11 years – beginning with 20,000 bpd in first year and rising to 30,000 bpd in second year before beginning to decline.

Aker Smart-1 FPSO, contracted for $733 million, will help eliminate the need for piping the oil to the shore for onward transportation to refineries. Oil tankers can directly load at the FPSO and carry the oil to the destined refineries.

Reliance is separately investing $5.2 billion in phase-I of its gas field development plan, the first output of which is expected at least two months later than the first oil.

The firm has made 18 oil and gas discoveries in D6 and besides MA it is currently developing Dhirubhai 1 and 3 gas finds at an additional investment of $5.2 billion.

Initial gas output that may start now before November-end is seen at 15 million standard cubic meters per day and  going up to 40 mmscmd in three months.

Niko has 10 per cent stake in the 7,645 sq km KG-D6 block. Reliance is the operator with 90 per cent interest.The block was awarded to Reliance-Niko in India’s first international bid round in 1999.

Gas production from the Krishna-Godavri basin is expected to start in first quarter of 2009. The K-G basin will bring down India’s import bill by Rs.1,000 billion per year, Ambani said.

The gas will be sold at a base price of $4.2 per mmbtu (million British thermal unit) compared to the $2.02 quoted by the Oil and Natural Gas Corp (ONGC).

The utilisation of the gas is still embroiled in controversy, with RIL and younger brother Anil Ambani’s Reliance Natural Resources Ltd locked in litigation in the Bombay High Court over sharing of natural gas from the K-G basin.

 

Source : DNA, HIndu, NDTV

Stock Idea : Aban Offshore

Aban Offshore Ltd., formerly Aban Loyd Chiles Offshore Limited, is an off-shore oil and gas drilling company. The Company has two business segments: Offshore Oil Drilling and Production services, and Wind Power generation. The Company together with its sub-sidiaries, provides oil field services for offshore exploration and pro-duction of hydrocarbons in India and internationally.

ASSETS

It owns and oper-ates offshore drilling rigs, as well as provides drilling services to vari-ous oil and gas operators. The Company pos-sesses twenty offshore assets including fifteen jack-up offshore drilling rigs, two drill ships, one floating production platform and a jack-up rig and drill ship each on bareboat charter. It enjoys the privilege of part-nering with several global players in the oil and natural gas industry by offering them reliable, state-of-the-art drilling services. Its notable cus-tomers include ONGC, Hardy Exploration & Production (India) Inc., Oriental Oil Co. (Dubai), Shell Burnei, Shell Malaysia, Hind Oil Explo-ration Co. Ltd, Cairn Energy, Petronas Carigali etc. It is India`s largest offshore drilling entity in the private sector. Its innovative and cost ef-fective solutions make the company one of the most efficient interna-tional drilling contractors. Aban Singapore Pte. Ltd. (ASPL) was formed as a wholly owned subsidiary of Aban Offshore Ltd. to offer drilling services to large global oil and gas operators.

INVESTMENT RATIONALE:

Aban Offshore has received a contract to drill two wells and for two optional well programmes. The firm period of the contract, ex-pected to commence following the delivery of the rig from the yard in the first quarter of 2009, is likely to last for 150 days with an es-timated revenue of USD 30 million during the firm period.

Venture Drilling AS, in which the Aban Singapore (ASPL), sub-sidiary of Aban Offshore, has a 50% indirect shareholding, has agreed with ExxonMobil for a six month extension of the present drilling contract, in direct continuation and on same terms (at an operating day rate of USD 425,000 after withholding tax). The ex-tended period is likely to last till July 2009.

The company has received a contract to drill 3 wells in Malaysia. The estimated revenue from the contract is USD 17 million for 90 revenue days.

It has won another contract worth USD 38 million to drill 6 wells and one optional well program in Malaysia. Aban Offshore signed an agreement with Exxon Neftegas for the deployment of the jack-up rig Murmanskaya Offshore Russia for a 2 well programme. The project is expected to generate USD 34 mil-lion worth revenues, which has an estimated duration of 160 days and will commence in direct continuation of its present contract that is expected in June 2008.  It will strengthen the top & bottam line of the company.

The company received letter of intent for the deployment of the newly built jack-up rig Aban VIII in the Middle East for 18 wells plus 4 optional wells programme. The company expects USD 300 million in revenues over 4 years. The deployment is to commence following delivery of the rig, which is expected in the second quar-ter of 2008.

Reliance Industries: Refining blues

In the June 2008 quarter, RIL posted GRMs of $15.7 per barrel, which disappointed the Street which had pencilled in margins of $16-17 per barrel, given the sharp rise in crude oil prices. Refining contributes about 55 per cent to the company’s revenues which were Rs 1.37 lakh crore in FY08. Moreover, industry watchers believe there could be a slight delay in the output of gas from KG-D6 basin with it now being available only in November or even later.

Analysts say less than robust demand and fresh refining capacity coming into the market—much of it in Asia and the middle east– over the next couple of years, could cause refining margins to fall 20-25 per cent from FY 2008 levels.

Over one million barrels per day (bpd) of crude oil distillation capacity is estimated to come on stream in CY08 while twice that capacity is expected to be commissioned in the following year. GRMs, which were ruling at roughly $15 per barrel in FY08 could, therefore, come off to levels of around $12 per barrel by FY10.

Towards the end of August, Singapore refining margins had dropped sharply the result of a fall in the margins for diesel.

With the new refineries being complex in nature, the demand for middle distillates such as diesel and kerosene is likely to be met. However, margins for diesel could nonetheless remain higher than those for gasoline.

RIL’s petrochemicals business which brings just over 40 per cent of revenues is expected to do well with petrochemicals margins firming up in recent weeks. Also, the risks of the company being asked to pay a windfall tax appear to have receded.

RIL is expected to end FY09 with revenues of around Rs 1.9 lakh crore and a net profit of close to Rs19,000 crore.

BS Report

Reliance, divesting KG D6 Assets ?

Reliance Industries (RIL) has scrapped its plan to transfer 80% of its participatory interest in the famous D-6 block of the Krishna Godavari basin gas field, perhaps the company’s most valued asset, to four of its subsidiaries. The company had sent a letter to the petroleum ministry on Thursday (August 28) withdrawing its earlier application which sought permission to transfer the stake to the subsidiaries. Under the production sharing contract, any contractor (here RIL) is supposed to get the government’s nod for transferring stake in any asset.

In the letter, RIL says that it has organised funds required for the exploration and production of the block, officially known as KG-DWN-98/3, and therefore wants to abandon its plan to transfer its participatory interest to the subsidiaries.

In its application to the ministry for the proposed transfer three months ago, it had said the move was aimed at increasing flexibility in organising finances for the development of the project. RIL’s investment in the KG basin blocks is expected to be around $8 billion. Interestingly, RIL, had got the go-ahead from the Directorate General of Hydrocarbon on this on August 21. The proposal had then been forwarded to the petroleum ministry.

When contacted, a RIL spokesperson confirmed the development. “RIL has raised the requisite financial resources and is no longer pursuing the application for assignment of participating Interest (PI) to the subsidiaries. Implementation of the project has not been hindered,” the spokesperson said.

“However, in view of non-receipt of such approval/confirmation, we have successfully firmed up alternate means of financing and have met the cash requirements of the project…. We are entitled to assign the PI as envisaged in the…PSC but having raised the requisite finance as aforesaid, there is no need at this time for us to pursue the means of financing that would envisage assignment of PI and for the record hereby formally withdraw the..application and request that no further action need be taken thereon,” RIL said in its letter addressed to the joint secretary (exploration) in the ministry of petroleum. ET has a copy of the latter.

Industry experts said RIL’s move could have been partly driven by the criticism of its big shareholders. A few major shareholders, especially the foreign institutional shareholders, had questioned the logic of the proposed move in the past few days after the development came to the fore on Tuesday.

RIL clarified the next day that these four companies, Reliance KG Exploration and development, Reliance KG D6 E&P, Reliance KG Basin and Reliance E&P KG, are wholly-owned arms. But there were reports saying at least one of these companies could be part-owned by two top-level RIL executives.

The timing of RIL’s withdrawal from the proposed move assumes significance. RIL has withdrawn the transfer of the participatory interest on Thursday (August 28), four days before the hearing of the legal case between the company and Anil Ambani’s Reliance Natural Resources (RNRL) in the Bombay High Court.

Source : ET, INfraline

Power, Freedom & Grace : Living from source of lasting Happiness

                         The prolific author sets out to explore the path of happiness according to the ancient Hindu philosophy of Vedanta. He points out that on this quest, the question of who we really are continually haunts us. So Chopra has organized the book in three parts to address it.

The Problem: Not Knowing Who We Are
The Prescription: Remembering Who We Are
                          The Practice: Experiencing Who We Are

According to Vedanta, human suffering stems from not knowing who we are, identifying with our ego or self-image, clinging to what is transient and unreal, recoiling in fear of that which is transient and unreal, and fearing death. Our true nature is divine, and once we tap into that source of energy and power, we taste the first fruits of power, freedom, and grace. Here is what Chopra says about the latter:

“The more we live in the state of happiness, the more we experience the spontaneous fulfillment of desire in the form of synchronicity and meaningful coincidence. In many spiritual traditions, this has been called a state of grace. To experience grace is to find ourselves in the right place at the right time, to have the support of the laws of nature, or ‘good luck.’ In the state of grace, it seems to us that the universal or cosmic mind is eavesdropping on our thoughts and fulfilling our intentions and desires even as we are having them.”

The author sees joy as an internal state of consciousness that can provide moral uplift for all that we see and do. He notes that the body transmits to us the awareness that we live in transformation: the body replaces 98 percent of all its atoms in less than one year, makes a new stomach lining every five days, and a new skin once every month. Is it so hard to visualize death as another form of transformation?

It is possible to become a new person by seeing our connections with others and by recognizing the presence of spirit in everything. “The key to lasting happiness,” Chopra explains, “is to identify with the unchanging essence of your inner self, your source. Then you no longer look for happiness because you know that you already have it.”

Source: Book

Chinese Net, kerala

Chaitanya’s father

Chinese nets on the banks of Trichy.

Flickr

, a fancy photo sharing thing.

RIL to start crude production from KG basin next month

With a FPSO (Floating, Production, Storage and Offloading) vessel set to stream into Kakinada from Singapore shortly , Reliance Industries Ltd is gearing up to extract crude from its Krishna Godavari basin wells by the second half of September.

The MA Fields in the D-6 block in the KG basin will produce about 40,000 barrels a day. The crude evacuated through pipeline grid set up will be shipped through tankers to refineries, according to RIL officials.

However, the gas produced from the KG wells will be pumped back into the wells as there is no possibility to store the gas. Meanwhile, the onshore gas processing facility at Gadimoga is nearing completion. “After the FPSO moves to Kakinada shores from Singapore, within a couple of weeks we expect production to commence from these wells. Initially, it could be about 15,000 barrels a day to be gradually ramped up to 40,000 barrels a day,” the official explained.

Asked about the gas production in the KG basin (Doubling India’s Gas Supply ny 2010), the official said that most of the installations and pipeline work of 1,400 km from Kakinada to Bharuch had been completed barring small link-ups.  

The undersea equipment has been procured. It is likely that by the fourth quarter of this year, the gas wells will be ready for production,Dhirubhai-I, the floating oil production unit chartered by Reliance, has been built by converting a large tanker in Singapore.

According to information reaching here from Singapore, the floating unit left Jurong yard last Wednesday and is scheduled to arrive at the eastern coast of India by Friday.

The floating oil unit is on a 10-year charter from the Norwegian company Aker and the initial contract value was $750 million. Aker will also operate and maintain the FPSO under a separate five-year contract.

Once the FPSO is anchored and connected to the oil wells, which is expected to take at least two weeks, oil production from a developed field can commence within a month, said an oil industry expert.

Unlike normal tankers, which need dry-docking at least every two years, the FPSO is designed to operate for 10 years without dry-docking.

Dhirubhai-I can process 60,000 barrels of oil and 15 million cu m of gas a day and can store 1.3 million barrels of oil.

The 8.86 lakh dwt tanker –S.T.Polar – was originally built in the US. The refitting at the Singapore yard is expected to extend the 25-year-old vessel’s life by 15 years.

As reported In Business Line 

Monetary Policy- Just Pain, No gain: Critics By SS Bhalla

Monetary authorities should not practise ideology, especially since monetarist ideology has been made obsolete by globalisation and development

Let us examine why Mr Reddy’s policies are most likely to be wildly off the mark. With the CPI inflation rate around 7 per cent, Reddy increased the repo rate to 9 per cent, besides also increasing the credit reserve ratio (money deposited by banks with the RBI for which they receive zero interest!) by 25 basis points. Given the consumer price inflation rate of 7.5 per cent, this implies a real interest rate of 1.5 per cent. This move was welcomed by the economists of almost all foreign investment banks. Surely this high approval rating suggests that Mr Reddy is wildly on, rather than wildly off.

 The bottom line: Don’t take the comments of foreign, or domestic, investment banks on the RBI seriously.

Two explicit statements of Reddy reflect his views. India has been overheating at least since April 2005 and, second, a surefire way to correct this overheating is to control money supply growth. This growth has been a few percentage points above the RBI mantra constant of 17 per cent. When the RBI sounded the first alarm bells of overheating (in 2005), unknown to the RBI, and the rest of us, was the fact that the investment rate in India had registered 32 per cent of GDP, and the savings rate was 31 per cent. Both these important macro parameters had already increased by 8 percentage points since 2000. If India indeed started overheating in 2005, then, in subsequent years, two effects should have been observed — a higher inflation rate, due to excess demand, and/or a stable, if not lower, rate of investment and savings. On both counts, the RBI assessment was off — the investment and savings rates continued to substantially increase, and inflation remained stable (according to the WPI, the rate declined; stable according to the GDP deflator, and the CPI registered an increase in the inflation rate of 1.5 percentage points).

The RBI still thinks in overheating terms because for it there is only one variable — the rate of growth of money supply. For something held so sacred, it is strange to find that the monetarist model (i.e. inflation is a function of the rate of growth of output and the rate of growth of money supply) finds little, actually zero, analytical support from Indian data. To be sure, there are some quasi research papers that relate the levels, rather than the rate of growth, of these variables. But estimating relationships between levels is akin to stating that the number of TVs causes mental illness — both go up steadily over time.

Maybe the RBI is just doing what officials of other fast-growing economies are doing. This won’t necessarily make the actions right, but it would mean that the RBI is following the global herd — and we all know that nobody can hold you responsible if you follow the crowd. (But then you can’t be a Volcker, either!). China has stopped raising rates and settled at a negative real rate of around -3.5 per cent. Korea just raised rates by 25 basis points, but to a level of -0.75 per cent real rate. Thus, Indian firms face a cost of capital some 2 to 5 percentage points higher than its competitors. Both New Zealand and the Czech Republic have lowered rates by 25 basis points each. Both cited the fact that the inflation is global, probably conjectured (different than the RBI) that $150/barrel oil should not be the reference price for monetary policy, and therefore cut rates to provide for inclusive growth to its citizens.

Inclusive growth is not a throwaway concept, though for the RBI (and the government?) it probably is. At least as indicated by their actions. The fat cats in industry are able to obtain credit from the international market at considerably cheaper rates than those mandated by the RBI. It is the middle classes, and the poor, who suffer from the high real cost of credit. And especially when this domestic high cost of credit does precious little to affect the international price of oil and commodities. These prices will determine the future course of Indian inflation, which most emphatically will not be affected by the sledge hammer RBI monetary policy. Unfortunately, the RBI’s policies can negatively affect GDP growth. Pain with no gain is what we have with the RBI.

The author is Chairman, Oxus Investments, a New Delhi-based asset management company. The views expressed are personal.

Ocean of LIFE : Reached in 75 Countries

Dear Readers,

Thanks for your support & encouragement to make this such a big success, looking forward for your continous support & patronage to take it further…

Countries acssed Ocean of LIFE

I solicit your valuable inputs, comments, critics, things you like to see on this page.

best regards