Hindustan Petroleum Corporation Limited’s joint venture, HPCL Rajasthan Refinery Limited (HRRL), has resumed production of key petroleum products following the successful restoration of its Crude Distillation Unit (CDU). The unit, which had suffered a localized fire in its heat exchanger stack on April 20, 2026, is now operational and producing product streams routed to downstream processing units.

The HRRL Refinery has commenced the production of BS-VI High Speed Diesel (HSD), LPG, Petcoke, and Naphtha. Commercial sales of LPG and Petcoke have already begun, while dispatches of BS-VI HSD are scheduled to start by the end of this week.

Production and dispatches of BS-VI Motor Spirit (MS) are expected to commence in the following week. The management of both Hindustan Petroleum Corporation Limited and HRRL remains focused on ensuring safe, stable, and efficient operations as the refinery ramps up production to optimal capacity utilization.

Production Status

The company acknowledged the support of the Ministry of Petroleum and Natural Gas, the Government of India, the Government of Rajasthan, and other partners in the restoration efforts.

Hindustan Petroleum Corporation Limited has recommended a final dividend of ₹19.25 per equity share for the financial year 2025-26, subject to shareholder approval at the upcoming Annual General Meeting. The record date to determine eligibility for this payout is August 14, 2026. The company has detailed the tax deduction at source (TDS) rates applicable to this dividend, which vary based on the residential status of the shareholder and the validity of their Permanent Account Number (PAN).

The Board of Directors approved the recommendation during its meeting on May 13, 2026. Tax will be deducted in accordance with the Income Tax Act, 2025, as amended by the Finance Act, 2026. Shareholders must ensure their KYC details are updated, as SEBI mandates that corporate benefits be paid only via electronic mode to members with compliant records.

For resident shareholders, a TDS rate of 10% applies if a valid PAN is updated in the company's records. This rate rises to 20% if the PAN is invalid, not updated, or not linked with Aadhaar as required under Section 262 of the Income Tax Act. Resident individual shareholders are exempt from TDS if their aggregate dividend income during FY 2026-27 does not exceed ₹10,000. If the dividend exceeds this threshold, tax will not be deducted provided the shareholder submits Form 121 - Annexure 1 and meets the eligibility conditions.

Non-resident shareholders are subject to TDS at 20%, plus applicable surcharge and cess, under Section 393(2) of the Income Tax Act, unless specific exemptions apply. The company cautioned that shareholders holding shares under multiple accounts with different statuses but a single PAN may be subject to the higher tax rate applicable to any of those statuses on their entire holding.

To avail exemptions or concessions, shareholders must upload necessary documents via the weblink www.hpcldiv2026.com or submit them to taxforms@hpcldiv2026.com on or before July 31, 2026. The company clarified that if tax is deducted at a higher rate due to missing details, shareholders can claim a refund while filing their income tax returns.

Tax Deduction Rates for Dividend