Shares in focus: Indian energy giant Essar Energy

India-based Essar Energy is rolling out new projects in oil exploration and production. But with possible regulatory delays, you'll have to wait a long time for profits. So, is now the time to buy? Phil Oakley investigates.

What is Essar Energy?

An India-based energy firm. Its power division has four plants with 1,600 megawatts (MW) of capacity and five times that number under construction, plus 450 million tonnes of coal reserves. Its oil exploration and production (E&P) division has estimated reserves of a billion barrels of oil and a trillion cubic feet of gas. Refining and marketing is covered by Vadinar refinery in India, the Stanlow refinery in Britain and a 50% stake in a Kenyan refinery. It also operates 1,385 petrol stations in India.

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Phil spent 13 years as an investment analyst for both stockbroking and fund management companies.

 

After graduating with a MSc in International Banking, Economics & Finance from Liverpool Business School in 1996, Phil went to work for BWD Rensburg, a Liverpool based investment manager. In 2001, he joined ABN AMRO as a transport analyst. After a brief spell as a food retail analyst, he spent five years with ABN's very successful UK Smaller Companies team where he covered engineering, transport and support services stocks.

 

In 2007, Phil joined Halbis Capital Management as a European equities analyst. He began writing for MoneyWeek in 2010.