Deep Ind......news starts coming in....my old call.....

The Company proposes to enhance and strengthen its equity capital base by way of infusion of further equity capital by issueof equity shares or such other security which would be later on converted into equity shares or give right to the holders of the securities to subscribe to the equity capital at a later date. As you are already aware that the Company has been awarded two Coal Bed Methane (CBM) Blocks at Singrauli inMadhya Pradesh and Godavari Valley (North) in Andhra Pradesh. The Company has acquired the land for the extraction/execution of 8 coreholes. Land acquisition for Test wells is under process. In Godavari (N) land acquisition for Core hole drilling is underway. The Company has obtained the Petroleum Exploration License (PEL) by the state government (Director Geology & Mining Madhya Pradesh). The Company is awaiting for Petroleum Exploration Licences (PEL) for Godavari (N) block. The Company has been awarded Consent of Operation (CFO) by Madhya Pradesh Pollution Control Board (MPPCB) on August 4, 2008. CFO process for GV(N) block is under process. In Singrauli Block, the Company has successfully completed drilling of three core holes and drilling of fourth, fifth and sixth coreholes is underway.
Based on the results found, our Company has already initiated planning for Test wells. For completion of these wells, Company has already placed two rigs and deployment of two additional rigs is under final process. The proposed infusion of funds upto Rs. 125 crores is to part finance the expenditure as mentioned above in respect of to CBM Blocks as well as Capital Expenditure and Working Capital requirements for expansion of air and gas compression business, work over rig and drilling rig business, marginal field and any other services and businesses as deemed fit by Board of Directors of the Company, as per the provisions of Memorandum of Association of the Company.