Hindustan Oil Exploration Company Ltd. Instructed to Furnish Bank Guarantee of INR 15.12 Crores in Arbitration Matter

Hindustan Oil Exploration Company Ltd. has been instructed by the Madras High Court to furnish a Bank Guarantee (BG) for INR 15.12 Crores as an interim arrangement in an ongoing enforcement petition filed by Hardy Exploration & Production (India) Inc. before the Hon’ble High Court of Gujarat concerning a foreign arbitration award dated February 28, 2020. The Company has issued the BG in line with the Court's directive, which amount corresponds to the previously disclosed claim of USD 1.16 million with interest. This exposure has been consistently reported as a contingent liability in the Company’s audited financial statements since FY 2020-21. These developments are procedural/interim in nature and do not materially impact the Company’s operations or financial performance. The final liability remains subject to the outcome of the sub judice matter before the Gujarat High Court.