Navin Fluorine International Ltd., owner of India’s third most-lucrative emissions reduction project, was poised for a four-month high after winning an additional 1.8 million carbon credits from the United Nations.
The United Nations Clean Development Mechanism, the world’s second-biggest greenhouse gas market, issued 1.8 million credits to the Mumbai-based company for a project that limits emissions of a potent greenhouse gas called hydrofluorocarbons or HFCs at a plant in western Gujarat state, according to its website. HFCs are used in refrigerators and air-conditioners.
The stock was up 3.3 percent at 11:12 a.m. in Mumbai trading after surging as much as 5.6 percent to the highest since Jan. 25. The Bombay Stock Exchange Sensitive Index advanced 0.3 percent.
The UN program awards credits to projects that reduce greenhouse gases in developing countries. Project owners can sell those credits to factories and refineries in Europe and elsewhere where they are used to offset excess emissions in order to comply with local pollution rules.
Navin Fluorine’s plant has earned 10.2 million UN credits to date, the most in India after two other HFC projects belonging to SRF Ltd. and Gujarat Fluorochemicals Ltd., according to data compiled by Bloomberg.