Gandhar Oil Refinery (India) Ltd has announced significant changes in its business partnerships as part of its operational restructuring efforts. The company has terminated its joint venture with Texol Oils FZC and signed a termination agreement with Espe Oils FZC.

Key Developments

• Joint Venture Liquidation: Texol Oils FZC, the joint venture company, has been liquidated.
• Termination Agreement: A termination agreement was executed on October 17, 2025, to formally close the joint venture.
• Regulatory Compliance: The company made this announcement in compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015.

Impact on Business Operations

According to the company's disclosure, the termination of this joint venture is not expected to have any material impact on Gandhar Oil Refinery's business or operations. The company stated that "this Joint venture was not beneficial to the Company," suggesting that the decision aligns with its strategic interests.

Details of the Termination Agreement

Corporate Governance

The decision to terminate the joint venture was approved by Gandhar Oil Refinery's Board of Directors in a meeting held on September 23, 2025. This move appears to be part of a broader strategy to streamline the company's operations and focus on more profitable ventures.

Investors and stakeholders are advised to monitor further announcements from the company for any additional information or developments related to this restructuring process.

Gandhar Oil Refinery (India) Ltd has announced a significant change in its business structure, deciding to terminate its joint venture agreement with ESPE Oils FZC. The company's Board of Directors approved this decision during a meeting held on September 23, 2025, which will result in the winding up of the joint venture company, Texol Oils FZC.

Joint Venture Details

Gandhar Oil Refinery currently holds a 50% stake in Texol Oils FZC, which operates under a Commercial License from Hamriyah Free Zone Authority Sharjah. The joint venture company was established to leverage synergies between Gandhar Oil Refinery and ESPE Oils FZC, but recent developments have led to a reassessment of this partnership.

Reasons for Termination

According to the company's disclosure, the decision to terminate the joint venture was reached mutually by both parties. The primary reason cited for this move is that the separate structure was no longer beneficial to either party due to changed circumstances.

Regulatory Approvals and Next Steps

The termination of the joint venture agreement and the subsequent winding up of Texol Oils FZC are subject to regulatory approvals. Gandhar Oil Refinery will need to obtain approval from the Registrar to terminate all existing licenses of the joint venture company.

Board Meeting Details

The decision was made during a board meeting that commenced at 7:30 p.m. and concluded at 8:15 p.m. on September 23, 2025. The company has duly informed the stock exchanges about this development in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Impact on Operations

While the immediate impact on shareholders is not explicitly stated, the company's decision to wind up the joint venture suggests a strategic realignment. As the situation develops, more details may emerge regarding the timeline for the joint venture's termination and any potential financial implications for Gandhar Oil Refinery.