Shares of Reliance Industries Limited continued to slide on Tuesday, following a ruling from the Delhi High Court that reversed a previous judgment.
Amid the legal uncertainty, the company’s shares dropped by as much as 1 per cent, reaching Rs 1,159.55 per share during the intra-day trade.
This ruling concerns an arbitral award won by Reliance, along with BP Exploration (Alpha) Limited and NIKO (NECO) Limited, in a dispute with the government over alleged gas migration from ONGC’s blocks in the KG-D6 area.
In the original case, the government accused the consortium of causing gas migration, which led to a demand for compensation of $1.55 billion.
On May 9, 2023, a single-judge bench of the Delhi High Court dismissed the government's appeal, upholding the arbitral award in favour of the consortium.