Hindustan Copper Ltd approved a strategic partnership with Lohum Materials Pvt. Ltd. to restart the Gujarat Copper Plant under a revenue-sharing model for 20 years, extendable by another 5 years. The decision was taken during a board meeting held on May 29, 2026. This move aims to revitalize operations at the Gujarat unit, a key asset in the company's portfolio, while leveraging external expertise for operational efficiency.

The board also greenlit a Memorandum of Understanding (MoU) with the Central University of South Bihar, Gaya, to foster industry-academia collaboration. The partnership will cover areas such as CSR projects, education, research, mineral exploration, and sustainable agriculture. The agreement is expected to enhance the company's research capabilities and contribute to community development in operational regions.

In another key approval, Hindustan Copper Ltd entered into an MoU with Engineers India Limited for a range of technical services. These include pre-project and exploration services, engineering, design, specialized metallurgy, and safety studies. The collaboration is intended to bolster the company's technical infrastructure and support sustainable operations.

The board further approved a General Agreement with CSIR-NML Jamshedpur for Research & Development (R&D) projects at the Indian Copper Complex. This initiative underscores the company's focus on innovation and technological advancement in copper extraction and processing. The agreement will be executed in the near future.

Additionally, the board deliberated on the status of existing MoUs and explored opportunities for copper block exploration in Madhya Pradesh, Chhattisgarh, Jharkhand, West Bengal, and Sikkim. This strategic expansion could significantly enhance the company's resource base and long-term production capacity.

Key Approvals

BSE Limited and National Stock Exchange of India Ltd (NSE) have imposed a fine of ₹9,55,800 each on Hindustan Copper Limited for non-compliance with corporate governance requirements. The penalties, communicated via letters dated May 27, 2026, relate to the composition of the Board and the constitution of the Audit Committee and Nomination and Remuneration Committee for the quarter ended March 2026.

The exchanges identified violations under Regulation 17(1) regarding board composition, Regulation 18(1) concerning the audit committee, and Regulation 19(1)/(2) for the nomination and remuneration committee. The total payable amount includes a basic fine of ₹8,10,000 plus GST of ₹1,45,800. Both exchanges have directed the company to pay the fine within 15 days, failing which action may be initiated to freeze the promoter's shareholding.

Non-compliance details

The fines were calculated based on the duration of non-compliance during the specified period. The table below outlines the specific penalties levied by the exchanges:

Company response and impact

Hindustan Copper clarified that as a Government Company, the power to appoint directors is vested with the President of India, acting through the Ministry of Mines. The company has written to the ministry regarding the appointment of the required number of directors, and the matter is currently under consideration. Consequently, the company stated there is no impact on its financial, operational, or other activities.

The company intends to seek a waiver of the fines from both BSE and NSE once the required directors are appointed. The exchanges have noted that compliance is a pre-requisite for processing any waiver application. The notices also require the company to place the matter before its Board in the next meeting and inform the exchanges of the Board's comments.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE531E01026/adbd8a8e77e94d4f.pdf