Hindustan Copper Limited (HCL) has received a demand notice dated February 12, 2026, from the District Mining Officer (DMO), Jamshedpur, for the recovery of compensation amounting to ₹929,40,06,242. The claim pertains to alleged illegal production from the Surda mine between FY 2000-01 and FY 2016-17 without valid clearances. HCL currently denies these allegations and confirms it is pursuing appropriate legal action.
Receipt of Significant Demand Notice
Hindustan Copper Limited (HCL) formally announced receiving a communication regarding a substantial financial claim. The notice was issued by the Office of the District Mining Officer, East Singhbhum, Jamshedpur, under the Department of Mines & Geology, Government of Jharkhand (DMO, Jamshedpur).
Details of the Demand
The core of the communication is a Demand notice for recovery of Compensation amount. The exact figure demanded is Rs.929,40,06,242/-. This demand has been issued concerning HCL’s production activities at the Surda mine.
Alleged Contravention
The DMO alleges that HCL conducted production:
- Without valid statutory clearances.
- In excess of permissible limits.
This period of alleged operation spans from FY 2000-01 to FY 2016-17. The liability is stated under Section 21(5) of the Mines and Minerals (Development & Regulation) Act, 1957, following a Supreme Court judgment.
Company Stance and Financial Impact
HCL has firmly stated its position regarding the allegations: The Company denies the allegations and is actively engaged in taking appropriate legal actions to contest the demand. Regarding the financial consequences, the management anticipates that the ultimate impact on financials, operations, or other activities will be limited to the extent of the final order.
The official direction was dated 12.02.2026, which is the date the communication was officially received by the company.
Source: BSE
