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(28 Mar 2025, 11:13)

BHEL rallies on securing Rs 11,800-cr LoI from CSPGCL for Korba West STPP

Bharat Heavy Electricals (BHEL) advanced 3.03% to Rs 220.95 after the company announced that it had received a Letter of Intent (LoI) worth approximately Rs 11,800 crore.


The LoI was awarded by Chhattisgarh State Power Generation Company (CSPGCL) for the Engineering, Procurement, and Construction (EPC) package of the 2x660 MW Korba West Super Thermal Power Project (STPP).

The order involves the supply of supercritical equipment—boilers, turbines, generators, and associated auxiliaries—along with electrical, control and instrumentation (C&I), balance of plant packages, erection and commissioning works and civil works.

The total value of the order is approximately Rs 11,800 crore and the project is expected to be completed with commercial operations within 60 months.

The company also clarified that the contract does not involve any related party transactions and confirmed that neither the promoter, promoter group, nor any group companies have any interest in the awarding entity.

Navratna PSU BHEL is India's largest engineering and manufacturing enterprise in the energy and infrastructure sectors. It is a leading power equipment manufacturer globally. As of 31 December 2024, the Government of India held a 63.17% stake in the company.

The company's consolidated net profit zoomed 123.34% to Rs 134.70 crore in Q3 FY25 as against Rs 60.31 crore posted in Q3 FY24. Revenue from operations grew by 32.21% year on year (YoY) to Rs 7,277.09 crore in the quarter ended 31 December 2024.

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