Any current/future new fundraising through debt or equity?

The company is open to both debt and equity options for fundraising; the choice is at the board's discretion. No definitive decision has been made, but both options remain on the table for raising capital as needed. Existing borrowings are being managed, with Rs. 55 crores debt and Rs. 30 crores cash as of the date of discussion. The company does not intend to borrow for onshore development immediately, relying on internal accruals and continued production. If the HPCL payment issue causes revenue blockage, alternative funding sources, including raising funds through debt or equity, wi

Any current/future capex/capital investment/strategic investment?

Capex budget proposed for drilling 9 new wells and 1 deeper well at Kharsang, awaiting partner approvals (65% pending). Plans for workover of B-80 well to improve production, delayed until post-monsoon due to resource constraints and rig availability. Development plans for B15 field underway; awaiting mining lease approval to submit development plan to Government of India; production expected within about 2 years post-approval. Drilling activities ongoing: monthly wells at Kharsang, pending rig for North Dirok and extensions awaiting government approvals. No immediate borrowing planned for ons

Future growth expectations in sales/revenue/volumes?

Expecting a threefold increase in production in FY 2027-28, primarily driven by Northeast gas grid connectivity (Page 6, 7). Kharsang field expected to ramp up by approximately 2,000 barrels per day; Dirok production anticipated to triple current levels (Pages 11, 12). Dirok gas production expected to reach 40-45 million cubic feet per day with grid connection by Q1 FY 2027 (Pages 7, 8). Targeting over 1,000 barrels per day from new wells in Kharsang block (Page 11). Plans to drill multiple wells offshore and onshore across various fields for unlocking potential and increasing output (Page 6).

Future growth expectations in earnings/operating earnings/profits/EPS?

Management expects production to increase significantly, especially with Northeast grid connectivity for Dirok, targeting about a threefold rise in production by FY 27-28. EBITDA margins are projected around 60% for FY 27-28. Consolidated profit after tax for the current quarter was Rs. 8.28 crores, showing improvement from previous quarters. New wells in Kharsang and Dirok are expected to enhance output, with Kharsang aiming for over 1,000 barrels of oil. Offshore drilling for 10 wells planned in PY-1, B-80, and B-15 fields to unlock reserves (~100 million barrels oil equivalent). Management

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Hindustan Oil Exploration Company LtdQ4 FY27Oil

Hindustan Oil Exploration Company Ltd Q4 FY27 Earnings Call Analysis

Revenue, margin, capex, fundraise and order book outlook from management commentary.

Price: ₹160P/E: 30.1Market Cap: ₹2.2K CrSector: Oil

Management growth scorecard

Revenue

Category 1

Margin

Category 1

Fundraise

Yes

Order

N/A

Capex

Yes

4 of 4 growth signals are positive — a strong management growth story.

Full analysis

Revenue guidance

Category 1

→Expecting a threefold increase in production in FY 2027-28, primarily driven by Northeast gas grid connectivity (Page 6, 7).
→Kharsang field expected to ramp up by approximately 2,000 barrels per day; Dirok production anticipated to triple current levels (Pages 11, 12).
→Dirok gas production expected to reach 40-45 million cubic feet per day with grid connection by Q1 FY 2027 (Pages 7, 8).
→Targeting over 1,000 barrels per day from new wells in Kharsang block (Page 11).
→Plans to drill multiple wells offshore and onshore across various fields for unlocking potential and increasing output (Page 6).
→Development timeline aims for B-15 field to be put on production approximately 2 years after submission of the development plan (Page 15).
→EBITDA margins projected around 60% for FY 2027-28, indicating strong profitability alongside growth (Page 11).

Margin guidance

Category 1

→Management expects production to increase significantly, especially with Northeast grid connectivity for Dirok, targeting about a threefold rise in production by FY 27-28.
→EBITDA margins are projected around 60% for FY 27-28.
→Consolidated profit after tax for the current quarter was Rs. 8.28 crores, showing improvement from previous quarters.
→New wells in Kharsang and Dirok are expected to enhance output, with Kharsang aiming for over 1,000 barrels of oil.
→Offshore drilling for 10 wells planned in PY-1, B-80, and B-15 fields to unlock reserves (~100 million barrels oil equivalent).
→Management aims to progress drilling programs and monetize reserves to drive value creation.
→Some challenges like delays in workovers and fund blockages (e.g. HPCL issue) may impact short-term growth.
→Overall, growth in earnings and profits is anticipated driven by improved production and operational efficiencies over the next 1-2 years.

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Fundraise plans

Yes

→The company is open to both debt and equity options for fundraising; the choice is at the board's discretion.
→No definitive decision has been made, but both options remain on the table for raising capital as needed.
→Existing borrowings are being managed, with Rs. 55 crores debt and Rs. 30 crores cash as of the date of discussion.
→The company does not intend to borrow for onshore development immediately, relying on internal accruals and continued production.
→If the HPCL payment issue causes revenue blockage, alternative funding sources, including raising funds through debt or equity, will be considered.
→The management is actively managing capital expenditure and financial obligations with available resources.

Order book

The transcript from pages 5 to 18 of the Hindustan Oil Exploration Company Limited call on February 18, 2026, does not explicitly mention details about current or expected orderbook or pending orders. However, relevant operational plans include: - Drilling plans: - 18 shallow and 3 deep wells in Kharsang - 4 wells in Dirok, 2 in Greater Dirok - 2 wells each in Asjol and Palej onshore assets - 10 offshore wells planned: 3 in PY-1, 3 in B-80, and 4 in B-15 blocks - Development plans: - B-15 development plan preparation ongoing; production expected in about 2 years post-approval - Drilling scheduled post-monsoon for B-80 workover and additional wells - Continuous drilling and appraisal activities in Kharsang to unlock resources - Financial caution: - Plans dependent on partner approvals and funding, with potential delays due to HPCL payment issues No explicit orderbook or pending orders quantification was provided.

Capex plans

Yes

→Capex budget proposed for drilling 9 new wells and 1 deeper well at Kharsang, awaiting partner approvals (65% pending).
→Plans for workover of B-80 well to improve production, delayed until post-monsoon due to resource constraints and rig availability.
→Development plans for B15 field underway; awaiting mining lease approval to submit development plan to Government of India; production expected within about 2 years post-approval.
→Drilling activities ongoing: monthly wells at Kharsang, pending rig for North Dirok and extensions awaiting government approvals.
→No immediate borrowing planned for onshore development, relying on internal accruals and continued production.
→Offshore campaign delayed due to funding impact from HPCL payment blockage.
→Strategic focus on expanding production via grid connectivity completion for Dirok, expected to triple gas production by FY 27-28.

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