Hindustan Oil Exploration Company Limited has finalized its leadership transition following a board meeting held on February 25, 2026. The board formally confirmed the resignation of Mr. Ramasamy Jeevanandam as Managing Director, effective March 31, 2026, and approved the appointment of Mr. Baroruchi Mishra as the new Managing Director & CEO.

Board Meeting Outcomes

The board meeting, which commenced at 11:45 AM and concluded at 1:05 PM on February 25, 2026, addressed the leadership succession plan initially announced in January 2026. The directors noted Mr. Jeevanandam's resignation due to health issues and other personal reasons, with his tenure concluding at the close of business hours on March 31, 2026.

New Leadership Appointment

Based on recommendations from the Nomination and Remuneration Committee, the board approved Mr. Baroruchi Mishra's appointment as Managing Director & CEO for a three-year term beginning April 1, 2026. Prior to this executive role, Mr. Mishra's designation was changed to Non-Executive Non-Independent Director effective February 25, 2026, following his relinquishment of independence status.

Mr. Baroruchi Mishra, aged 58 years, brings over 35 years of experience in the Oil & Gas and New Energies sector. He currently serves as Partner and Group CEO of NET Enterprise Group of companies, which provides EPC, EPCM, PMC services, and specialized engineering solutions globally. Notably, he was shortlisted for the Chairman and Managing Director position of ONGC by the Public Enterprise Selection Board in 2022.

Regulatory Compliance and Documentation

The appointments are subject to shareholder approval, with the company planning to seek necessary approvals through appropriate channels. The board has placed on record its appreciation for Mr. Jeevanandam's leadership during his tenure, which included over 8.5 years as Executive Director & Chief Financial Officer and 2 years as Managing Director.

The leadership transition represents a planned succession strategy, ensuring continuity in the company's operations and strategic direction as Hindustan Oil Exploration Company moves forward with its new management team under Mr. Mishra's leadership.

Hindustan Oil Exploration Company Limited reported mixed financial results for Q3 FY26, with revenue declining significantly quarter-on-quarter while maintaining operational momentum across its key assets. The company held its earnings call on February 18, 2026, providing comprehensive updates on drilling activities and production performance.

Financial Performance Overview

The company's standalone revenue for Q3 FY26 dropped to Rs 77.32 crores compared to Rs 321.51 crores in the previous quarter. This substantial decline was primarily attributed to the absence of crude oil sales from the B-80 field, which had contributed Rs 258.78 crores in Q2 FY26.

Despite the revenue decline, consolidated EBITDA showed improvement, rising to Rs 30.99 crores from Rs 25.15 crores in the previous quarter. Field operating expenses increased to Rs 60.34 crores compared to Rs 46.51 crores, mainly due to increased production activities in the B-80 field.

Northeast Operations Progress

The company made significant progress in its Northeast operations, particularly in the Kharsang block where 8 wells have been completed with the ninth well in progress. Out of the completed wells, 5 are producing oil while one has been converted to a gas producer following resolution of well control issues.

The Dirok field maintained production levels with gas sales of 13 million standard cubic feet per day in Q3, slightly down from 14 mmscfd in Q2. The field realized an average gas price of $7.32 per mmbtu compared to $7.8 in the previous quarter. Production constraints continue due to limited demand, despite the field's capacity to produce up to 45 mmscfd.

Offshore Assets Performance

B-80 offshore block showed improved performance with production of 45,742 barrels of oil and 0.4 bcf of gas in Q3, compared to 31,468 barrels of oil and 0.23 bcf of gas in Q2. The block achieved an average gas price of $10.5 per mmbtu during the quarter.

Infrastructure Development and Future Outlook

The Northeast Gas Grid connectivity remains a critical factor for the company's growth prospects. Management indicated that mechanical completion of the DNPL line has been achieved, with connection to the IGGL line expected by end of March 2026. This connectivity could enable Dirok production to reach its full potential of 40-45 mmscfd.

The company faces temporary challenges including Rs 259 crores plus interest pending from HPCL related to crude oil sales, which may impact near-term capital expenditure plans. Management expects EBITDA margins of around 60% for FY27-28, with production potentially tripling at Dirok once grid connectivity is established.

Management Transition and Strategic Direction

The company announced an ongoing search for a new CEO, with Managing Director R. Jeevanandam indicating he will not continue in an executive position once the transition is complete. The Nomination Remuneration Committee and Board are actively working on the appointment process, with the new CEO expected to be announced shortly.

Management remains committed to drilling 18 shallow wells and 3 deep wells across various onshore assets, along with 10 offshore wells to unlock the company's estimated 100 million barrels of oil equivalent reserves.