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Assam Company-Oil is Gold
BSE: 500024; CMP Rs 279.60

Shares in issue: 22.9 mn; Market Cap: Rs 618 crore
Promoters: Duncan Mcneill Group with 80 per cent stake
Oil Reserves discovered & proven: 58 mn barrels worth Rs 18,000 crore
Gas Reserves: 95 billion cubic feet worth Rs 4000 crore
Stock Split: Stock to be split into Face Value of Rs 1
There are only two things on Earth which are scarce, Land and Oil, that is if we were to ignore that very ubiquitous word, "Love". But nothing exceeds the material value of land and oil, not even love. And those who own Oil will own everything.
While our national warhorse Ongc has been scouting the world in search of Oil assets, a motley bunch of players like Cairns, Hind Oil, Reliance, Gujarat Petroleum and even Videocon have hit oil and gas patches in various pockets of the country. The latest to join this game of Oil finds is Assam Company which has struck Oil and Gas, in our very own backyard Assam, from where India's oil industry had made a beginning.
Those who own Oil will own everything
Early on in June 2005, Assam Company announced that it's Oil & Natural Gas division has commenced extraction of Oil & Natural Gas in the Amguri Block in Assam. For this venture technology back up is being provided by Canoro Resources Pvt Ltd, a Canadian Company having expertise in the Oil & Gas businesses worldwide. The Government of India had awarded the two blocks in Assam to the consortium of Assam Company & Canoro Resources Pvt Ltd, with the latter being the designated operator for these two blocks.If the claims of Assam Company are to be relied upon, commercially proven reserves have been found in the Amguri block in Assam. The estimated in place Oil reserves are 58 million barrels & estimated associated and free Gas reserves are 95 Billion Cubic Feet.The Company has further been awarded the following three marginal fields in Assam by ONGC on service contract basis: 1. Bihubar; 2. Barsilla; 3. Laxmijan. All the above commercially proven marginal fields have been awarded for operation and production to the Company. Assam Company is making serious efforts to successfully carry out the exploration and development activities in all the allotted fields.
Oil business would be de-merged from Tea
Assam Company will shortly de-merge its Oil & Natural Division, into Assam Oil & Natural Gas Ltd, a subsidiary of the Company. The Share Exchange Ratio and Financial Valuation exercise are under process and the shareholders of the Company would receive shares of Assam Oil & Natural Gas Ltd upon the de-merger becoming effective and based on the Financial Valuation to be carried out of the said division.
The Earl of Inchcape joins the Assam Company
While the Indian promoters led by Dr. K K Jajodia, would join Assam Oil and Natural Gas as Chairman, the Earl of Inchcape (Lord Inchcape) and the 34th richest man in England will join the Board. Also coming on Board would be Mr. Edward Thomas Walshe, a renowned Oil & Gas Consultant of UK and formerly an executive of BG (formerly British Gas). This would greatly enhance Assam Oil & Natural Gas Ltd's international exposure and expertise.
The Tea Business has got its own plans
Assam Company will merge with itself, its subsidiary Namburnadi Tea Company Ltd., consultants and professional firms have been appointed to help carry out the merger. The Tea division will in future make a foray into Biotech, Organic, Pharma, Herbal, and Medicinal Plant Sectors. These businesses will be funded by means of debt and equity.
Assam Company-the first, the finest tea producer
The Assam Company was the first tea company in the world (established on 12 February, 1839) set up by a deed of the British Parliament. It was the first company to be awarded the Royal Charter by Queen Victoria in 1845. It was the first company in the world to establish tea gardens, to build premium blends and brands, the first to export tea from India and the first company to create `Tea Seed Gardens'.
Today, blending, improved methods of production, and leaf-handling with absolute state-of-the-art technology are carried out at Assam Company, with the corporate becoming the first to containerise teas at the tea gardens to preserve freshness. Assam Company is the proud owner of 60 mature, premium tea gardens including out-gardens in Assam, spread over 12,000 hectares of fertile, rainfed land... an area even larger than the city of London. These gardens are carefully tended and nurtured by legendary planters. The Assam Company has ploughed back more than Rs.240 million in welfare programmes for it's over 25000 strong workforce. The Company is fully committed to fulfilling its responsibilities as an environmentally conscious corporate citizen. It has taken the lead in undertaking massive afforestation programme to maintain ecological balance. From UK to Japan, Assam Company teas have pleased the world. Now tea will be joined by Oil.
For the shareholders not only will there be a well-brewed cuppah, there would be the newly found Oil wealth to partake in