Shares in India's oil exploration company, Oil and Natural Gas Corporation surged, after OPEC agreed on oil cuts for the first time since 2008.
Brent crude oil surged to $52 a barrel, following the news. This led to a sharp jump in the share prices of the oil exploration major. Shares in ONGC were last trading at Rs 295, up almost 3 per cent over the previous days levels.
ONGC is an oil exploration company that directly tends to benefit from a rally in crude prices. On the hand companies like BPCL and HCPL, which refine crude oil into petroleum products tend to be losers, as they have to hike petrol and diesel prices frequently, if there is a hike in crude prices.