Fitch Ratings has reaffirmed Hindustan Petroleum Corporation Ltd’s long-term foreign currency issuer rating at BBB-, maintaining a stable outlook amid volatile global energy dynamics.
Key Highlights:
- Rating reflects HPCL’s strategic importance as a government-owned oil marketing company
- Stable outlook supported by consistent refining margins and strong domestic demand
- Fitch notes HPCL’s moderate leverage and improving cash flows post refinery upgrades
- Government backing and sovereign linkages remain key credit strengths
- Risks include exposure to crude price fluctuations and regulatory constraints on fuel pricing
- HPCL continues to invest in green energy and petrochemical diversification
Market Impact:
- Reinforces investor confidence in HPCL’s financial resilience
- Supports ongoing capital market access for infrastructure and ESG-linked projects
Sources: Fitch Ratings India, Business Standard Energy Desk, Moneycontrol Oil & Gas Tracker 2025