Power Mech Projects has secured a significant order worth ₹109.22 crore from Hindustan Zinc Limited for the operation and maintenance of a 91.5 MW Captive Power Plant (CPP). This major contract win strengthens the company's order book and demonstrates its capabilities in power plant operations and maintenance services.

Order Specifications

The comprehensive order details reveal the scope and scale of this important contract for Power Mech Projects:

The contract involves comprehensive operation and maintenance of the 91.5 MW CPP and transmission line up to the MRSS, with Power Mech Projects acting as an independent contractor on behalf of Hindustan Zinc Limited.

Contract Terms and Execution

The order is structured as a domestic work contract with a defined execution timeline of 48 months. Power Mech Projects will be responsible for the complete operational management and maintenance activities of the power generation facility, ensuring optimal performance and reliability.

The company has confirmed that this contract does not involve any related party transactions and has been awarded at arm's length terms. Additionally, no promoter or group companies have any interest in Hindustan Zinc Limited, ensuring complete independence in the business relationship.

Business Impact

This order acquisition represents a substantial addition to Power Mech Projects' revenue pipeline, contributing ₹109.22 crore to its order book. The four-year contract duration provides revenue visibility and supports the company's long-term business planning and growth objectives.

The successful bid demonstrates Power Mech Projects' competitive positioning in the power sector operations and maintenance segment. Such long-term contracts are crucial for maintaining steady cash flows and establishing strong client relationships in the industrial power generation market.

Power Mech Projects has officially informed stock exchanges about the annulment of a significant battery storage tender by West Bengal State Electricity Distribution Company Limited (WBSEDCL). The state utility has rescinded the Letter of Award dated January 08, 2026, previously issued to PM Green Private Limited, a wholly owned subsidiary of the company.

Official Communication Details

The company filed an official intimation with NSE and BSE on March 25, 2026, providing comprehensive details about the tender cancellation. WBSEDCL has annulled the entire tender process for the 250 MW/1000 MWh Standalone Battery Energy Storage System project at Goaltore.

Reasons for Tender Annulment

According to the official communication, the annulment has been attributed to administrative and procedural exigencies arising from circumstances beyond the control of either party. The company has clarified that the decision is not due to any default or non-compliance on the part of the bidder.

The tender cancellation demonstrates that external factors, rather than performance issues, led to the project's termination. WBSEDCL's decision reflects administrative challenges that prevented the project from proceeding as originally planned.

Financial Impact and Securities Release

The tender annulment has resulted in a direct impact on Power Mech Projects' business portfolio and financial position.

The company has confirmed that both the Bid Security and Performance Bank Guarantee submitted by PM Green Private Limited have been released in full, without any deductions or forfeitures. This indicates that the subsidiary met all compliance requirements and the cancellation was purely due to administrative reasons.

Business Implications

The rescission represents a significant setback for Power Mech Projects' expansion into the battery energy storage sector through its subsidiary operations. The cancelled project was part of the growing renewable energy storage market, which utilities are increasingly adopting for grid stability and renewable energy integration.

PM Green Private Limited, as a wholly owned subsidiary, was positioned to execute this major infrastructure project. The tender annulment removes a substantial project from the company's execution pipeline and impacts future revenue projections from the renewable energy storage segment.