Shares of Hindustan Oil Exploration Company (HOEC) rose as much as 8.14%, marking the company's biggest single-day move since March 4, to hit an intraday high of ₹175. As of 2:32 pm, the stock was trading 3.72% higher at ₹168, significantly outperforming the NIFTY50 index which was down 3.7%. According to reports from The Economic Times, the surge came after the company announced a major contract award from the Government of India.
The Vadodara-based oil exploration and production company announced that the Government of India approved the award of contract area under the Discovered Small Field (DSF) Bid Round-IV to HOEC. The award was communicated by the Directorate General of Hydrocarbons (DGH), Ministry of Petroleum & Natural Gas, Government of India, vide its letter dated 31 August 2026. As reported by The Economic Times, the award is subject to execution of the Revenue Sharing Contract (RSC) between the President of India and HOEC.
The awarded contract area is located in the Mumbai Offshore basin and comprises multiple discovered field areas - C-23-9, C-39-14, BH-68, WO-5-11 and B-174-1, together with their respective geographical boundaries and existing well locations. According to The Economic Times, the company stated that the bid work programme, commercial terms, area, map and coordinates forming part of HOEC's bid will be incorporated in the final RSC, with the date and modalities for execution to be communicated separately.
The award further strengthens HOEC's presence in the Western Offshore, where the company already has an established operating presence in B80 field and are planning the development of B15 field which was awarded to it in 2025 by the Government of India. As reported by The Economic Times, HOEC intends to evaluate the discovered hydrocarbons within the awarded area with a focus on accelerated and capital-efficient development, including opportunities for integration, infrastructure sharing and operating synergies with its existing and emerging Western Offshore portfolio.
