I'm doing just a basic setup using an environment node with an hdr file and a object but when I render its still in the panoramic view and it seems the background isn't rendering aswell what can be the issue.

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You need to set the projection for the environment texture as equirectangular. See this link: http://blender.stackexchange.com/questions/46517/trouble-viewing-whole-hdr-image-as-cycles-world/46519#46519 – Feb 23 '17 at 02:24
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Read also: http://blender.stackexchange.com/questions/6881/cant-use-image-as-world-texture/8978#8978 – Feb 23 '17 at 02:28
