Gujarat Natural Resources Limited (GNRL) has announced that the Securities and Exchange Board of India (SEBI) has appointed a forensic auditor to examine the company's financial statements. This development comes as part of SEBI's ongoing efforts to ensure transparency and protect investor interests in the securities market.

Audit Scope and Timeline

The forensic audit will cover GNRL's financial statements from the fiscal year 2020-21 to 2022-23, spanning a three-year period. SEBI communicated this decision to the company through a letter dated September 22, 2023.

Reasons for the Audit

According to the company's disclosure, the primary objectives of the audit are to:

• Examine the disclosure of financial information
• Review business transactions of the company

The regulatory body aims to ensure that these aspects have not been dealt with in a manner that could be detrimental to the interests of investors or the securities markets.

Company's Response

In response to SEBI's directive, Gujarat Natural Resources Limited has affirmed its commitment to full cooperation with the audit process. The company stated:

"The Company would like to confirm its commitment to providing all required information, assistance, and cooperation in this matter, and will promptly notify the exchange of any further developments."

Implications and Next Steps

While the initiation of a forensic audit does not necessarily imply wrongdoing, it signifies SEBI's proactive approach to maintaining the integrity of financial reporting in the securities market. Investors and market participants will likely keep a close watch on the outcomes of this audit, which could have implications for GNRL's market position and investor confidence.

As the audit progresses, Gujarat Natural Resources Limited is expected to provide updates to the stock exchange and its shareholders regarding any significant findings or developments.

Stakeholders are advised to monitor official communications from the company and regulatory bodies for further information on this matter.

Gujarat Natural Resources Limited (GNRL) has announced significant progress in its drilling campaign, marking a new phase in its oil exploration and production efforts.

Kanawara Field Development

GNRL has successfully completed its third development well, KI3, in the Kanawara field. The well encountered a promising 20-meter oil-bearing zone between depths of 1684 to 1704 meters. Despite facing a two-month delay due to heavy monsoon conditions, the company is moving forward with its production plans.

Hydraulic Fracturing and Production Timeline

To optimize production from the KI3 well, GNRL plans to carry out hydraulic fracturing. The company aims to commence commercial production from this well by the first week of October 2025, potentially boosting its oil output in the region.

Expansion of Drilling Operations

In a strategic move to accelerate its exploration and production activities, GNRL is set to operate two drilling rigs simultaneously starting October 2025:

1. One rig will continue operations in the Kanawara field, focusing on further development of this promising area.
2. A second rig will begin drilling a 3000-meter deep well in the company's wholly-owned North Kathana field, expanding GNRL's operational footprint.

Upcoming Drilling Activity

The company is not slowing down its efforts. GNRL has announced that drilling of the fourth well location in the Kanawara field is expected to commence in the first week of October 2025. This continuous drilling activity underscores the company's commitment to expanding its oil and gas production capabilities.

Management's Perspective

Shalin Shah, Managing Director of Gujarat Natural Resources Limited, stated in the company's disclosure to the BSE, "We will continue to keep you updated on the progress of this significant initiative." This statement reflects GNRL's commitment to transparency and its focus on keeping stakeholders informed about its operational developments.

Gujarat Natural Resources Limited's recent achievements and future plans demonstrate its active pursuit of growth in the oil and gas sector. The successful completion of the third well, coupled with the planned expansion of drilling operations, positions the company for potential production increases in the coming months.