HG Infra Engineering wins Rs 1145.34 million annual transmission contract

H.G. Infra Engineering Limited has been declared the successful bidder for a major transmission contract by REC Power Development and Consultancy Limited, a wholly owned subsidiary of REC Limited. The award involves establishing an Inter-State Transmission System for the "WR-ER Inter Regional Network Expansion Scheme – Part C" in the state of Jharkhand. The project will be executed through a tariff-based competitive bidding process under a Build, Own, Operate and Transfer (BOOT) model for a duration of 35 years.

The contract stipulates annual transmission charges of Rs. 1145.34 Million. H.G. Infra Engineering Limited is required to execute the order within 30 months. The disclosure was made to the exchanges pursuant to Regulations 30 and 51 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

REC Power Development and Consultancy Limited confirmed that the order was awarded by a domestic entity. The filing further clarified that the promoter, promoter group, or group companies do not hold any interest in the entity awarding the contract. Additionally, the transaction does not fall within related party transactions.

Contract Details

The key parameters of the awarded contract are summarised below:

Particulars	Details
Name of Entity Awarding Contract	REC Power Development and Consultancy Limited
Nature of Contract	Build, Own, Operate and Transfer (BOOT)
Project Location	Jharkhand
Duration	35 years
Execution Period	30 months
Annual Transmission Charges	Rs. 1145.34 Million

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-3.62%	-1.87%	-4.92%	-33.69%	-47.53%	+49.46%

H.G. Infra Engineering Limited has been declared a qualified bidder by REC Power Development and Consultancy Limited for the construction of two transmission substations in Uttar Pradesh. The project, awarded through a tariff-based competitive bidding process, involves the establishment of a 220/132/33 kV AIS Substation in Ranipur (Mau) and another in Chunar (Mirzapur), along with their associated lines. This development positions the company to secure a long-term infrastructure contract in the power transmission sector.

The order follows a domestic tender process and operates on a Build, Own, Operate, and Transfer (BOOT) basis. The project entails establishing an Intra-State Transmission System with a concession period of 35 years. REC Power Development and Consultancy Limited, a wholly owned subsidiary of REC Limited, issued the qualification under the regulatory framework governing listing obligations.

Project Details

The execution timeline for the transmission infrastructure is set at 18 months. The financial consideration for the contract is structured around transmission charges, which are fixed at ₹450.11 million per year. The project scope encompasses the full lifecycle of the transmission assets, from construction to operation, before eventual transfer.

Key Contractual Terms

Particulars	Details
Project Name	Construction of 220/132/33 kV AIS Substation, Ranipur (Mau) and Chunar (Mirzapur) with associated lines
Nature of Order	Build, Own, Operate and Transfer (BOOT)
Location	Uttar Pradesh
Concession Period	35 Years
Execution Time	18 Months
Transmission Charges	₹450.11 million per year
Entity Type	Domestic

The disclosure was made to the exchanges pursuant to Regulations 30 and 51 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company confirmed that the order does not involve any related party transactions and that the promoter group holds no interest in the entity awarding the contract.