Brokers’ Call: Religare retains buy on ONGC

Religare has maintained its ‘Buy’ rating on ONGC with a target price of Rs 370.

“ONGC has undertaken fast-track development of Daman cluster (B-12 North & South, C-26, SD) and D-1 fields, which would augment domestic production in FY14/15. Other marginal fields (G-1, B-22, B-46 cluster) would also increase crude/NG production over FY14-16, while the JV ( Cairn) and OVL ( Carabobo, Azerbaijan, Syria, Kashagan) would contribute further. Reforms in domestic retail fuel prices would likely reduce U/Rs and improve crude realisations,” the brokerage house said in a report.