BHEL Secures Rs 5,500 Cr EPC Package From HPGCL For Thermal Power Plant Expansion
The Haryana Power Generation Corporation (HPGCL) has awarded a significant contract to Bharat Heavy Electricals (BHEL), as announced by BHEL in an exchange filing. The Letter of Intent (LoI) signifies BHEL's selection for an Engineering, Procurement, and Construction (EPC) package valued at Rs 5,500 crore, excluding GST.
The project entails the expansion of the Deen Bandhu Chhotu Ram Thermal Power Plant (DCRTPP) in Yamuna Nagar, Haryana, with the addition of a 1x800 MW Ultra Supercritical unit. BHEL's scope of work includes the supply of crucial equipment such as boilers, turbines, generators, and associated auxiliaries.
Additionally, the company will oversee erection and commissioning activities, along with civil works.
The timeline for project completion is set at 57 months, translating to nearly five years, culminating in the final takeover of the expanded unit.
This significant contract marks the second major order secured by BHEL this year. In the previous month, the company clinched a substantial Rs 15,000 crore EPC contract from NLC India for the Talabira Thermal Power Project in the Jharsuguda district of Odisha, comprising three 800 MW units.
Despite these notable achievements, BHEL is yet to release its financial results for the December quarter. Analyst sentiment towards the company remains mixed, with 12 out of 18 analysts tracking BHEL recommending a "sell" on the stock, while five advocate a "buy" rating.
Shares of BHEL exhibited minimal movement on Thursday, closing at Rs 231.20. Nevertheless, the stock has demonstrated remarkable growth over the past year, tripling in value and surging by an impressive 202 per cent.
BHEL's successful bid for the HPGCL contract underscores its continued prominence in the power generation sector, bolstering its reputation as a leading player in India's energy infrastructure landscape.
