Reliance Industries Share Price Surges Following Partnership on Gujarat Lignite Gasification Project with NLC India

Reliance Industries Shares Gain 1% on Partnership with NLC India

Reliance Industries (RIL) shares rose over 1% on Monday, 1 June, after reports emerged of a partnership between the company and state-owned NLC India Ltd (NLCIL) to explore an underground lignite gasification project in Gujarat.

According to a PTI report citing sources, NLCIL and Reliance Industries have signed an agreement to evaluate the feasibility and technical viability of converting lignite reserves into gas through underground gasification technology. The proposed project will assess the potential of two lignite blocks owned by NLC India in Gujarat. Preliminary technical studies are currently underway, with Reliance contributing its expertise in gasification technologies, the report added.

The initiative arises in response to concerns about domestic gas shortages and the ongoing global fuel crisis. If proven feasible, the project could produce synthesis gas for industrial use, providing a local fuel alternative and reducing India's reliance on imported liquefied natural gas (LNG). Furthermore, this partnership is anticipated to bolster India's wider energy security goals by diversifying energy sources and improving the use of domestic lignite reserves.

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NLC India is also developing a ₹4,394-crore lignite-to-methanol plant at Neyveli, Tamil Nadu, expected to be commissioned next year. This project aligns with the Centre's push for coal gasification, following the Cabinet's approval of a ₹37,500-crore scheme to promote coal and lignite gasification and achieve the target of gasifying 100 million tonnes by 2030.

Dividend Record Date

RIL has set 5 June as the date for determining which shareholders are entitled to the final dividend for FY26. The board of the company has recommended a final dividend of ₹6 per equity share for the fiscal year ended 31 March 2026. This proposal will require shareholder approval at the forthcoming Annual General Meeting (AGM).

RIL's Investment in Sovereign AI Infrastructure

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RIL is investing ₹10 lakh crore in building sovereign AI infrastructure, including multi-gigawatt AI-ready data centres, as part of its next phase of growth. The investment underscores Reliance's transformation from a refining and petrochemicals company into a diversified global conglomerate with interests spanning energy, digital services, retail, media, green technologies, and artificial intelligence.

Chairman Mukesh Ambani had first announced the investment plan at the AI Impact Summit in New Delhi earlier this year. He said the ₹10 lakh crore commitment, to be deployed over the next seven years, is aimed at creating long-term economic value and strengthening India's strategic capabilities in the AI era. The initiative is expected to support the development of large-scale, AI-ready digital infrastructure and position India as a key player in the global AI ecosystem.

Reliance Industries Share Price

Reliance Industries share price today opened at ₹1,334 per share on the BSE, touched an intraday high of ₹1,335.65, and an intraday low of ₹1,321. The stock declined sharply on Friday, forming a strong bearish candlestick pattern on the daily chart. Although the stock opened marginally higher today, it failed to hold its gains and traded largely flat.

According to Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, the stock is currently trading below its short-term moving averages, indicating a lack of positive momentum. He said a decisive move above the ₹1,360–₹1,370 zone would be crucial to revive bullish traction. On the downside, the ₹1,300 level remains a key support area, as it coincides with the 200-day simple moving average (DSMA) and a previous swing low.