Power Mech Projects Limited , a prominent player in the power and infrastructure sectors, has announced a significant boost to its order book with the acquisition of multiple contracts totaling ₹551.35 crore. This development marks a substantial win for the company, reinforcing its position in the market and potentially driving future growth.

Order Details

The company has secured two major orders:

1. A contract worth ₹498.39 crore from SJVN Thermal (P) Ltd. (STPL) for the Buxar Thermal Power Project in Bihar.
2. An order valued at ₹52.96 crore from Jhabua Power Limited for operations and maintenance services in Madhya Pradesh.

SJVN Thermal Power Project Contract

The larger of the two orders, valued at ₹498.39 crore (excluding taxes and GST), involves commissioning support and comprehensive operation and maintenance for the Coal Based Supercritical Buxar Thermal Power Project (BTPP). This project consists of two units with a capacity of 660 MW each, located in Chausa, Buxar district, Bihar. The contract is set to be executed over a period of 39 months, showcasing Power Mech Projects' long-term engagement in this significant power project.

Jhabua Power Limited Contract

The second order, worth ₹52.96 crore (excluding taxes and GST), is for the operation and maintenance of the Boiler, Turbine, and Generator of a 600 MW unit at Jhabua Power Limited's facility. This plant is situated in Village Barela, Tehsil-Ghansore, District Seoni, Madhya Pradesh. The contract has an initial duration of 3 years, with a provision for a one-year extension, indicating a potential for sustained revenue from this project.

Impact on Power Mech Projects

These new orders are expected to have a positive impact on Power Mech Projects' financial performance and market standing. The contracts not only add a substantial amount to the company's order book but also demonstrate its capability to secure projects from reputable clients in the power sector.

Key Points

• Total order value: ₹551.35 crore
• Orders received from domestic entities
• No related party transactions involved
• Contracts span across two states: Bihar and Madhya Pradesh
• Diverse scope including commissioning support, operation, and maintenance services

The successful acquisition of these orders underscores Power Mech Projects' expertise in handling large-scale power projects and its strong positioning in the Indian power sector. As the company moves forward with the execution of these contracts, stakeholders will likely keep a close watch on the potential impact on the company's revenue and profitability in the coming quarters.

Note: All financial figures mentioned are exclusive of taxes, duties, levies, cess, and GST.

Power Mech Projects Limited , a prominent player in the power and infrastructure sectors, has announced securing multiple operation and maintenance (O&M) contracts totaling ₹551.35 crore, showcasing the company's strong market position and continued growth trajectory.

Major Contract Details

The company has secured two significant contracts:

1. A ₹498.39 crore contract from SJVN Thermal (P) Ltd. (STPL) for the Buxar Thermal Power Project in Bihar.
2. A ₹52.96 crore contract from Jhabua Power Limited for operations and maintenance services in Madhya Pradesh.

SJVN Thermal Power Project Contract

Power Mech Projects has been awarded a substantial contract worth ₹498.39 crore by SJVN Thermal (P) Ltd. The scope of work includes:

• Commissioning support
• Comprehensive operation and maintenance

This contract is for the Coal Based Supercritical Buxar Thermal Power Project (BTPP), which consists of two units of 660 MW each, located at Chausa, District Buxar, Bihar. The project is set to be executed over a period of 39 months.

Jhabua Power Limited Contract

The second contract, valued at ₹52.96 crore, has been awarded by Jhabua Power Limited. This contract involves:

• Operation and maintenance of Boiler, Turbine, and Generator
• Services for a 1x600 MW unit

The power plant is situated at Village Barela, Tehsil-Ghansore, District Seoni, Madhya Pradesh. The contract has an initial period of 3 years, with a provision for a 1-year extension.

Contract Specifications

Both contracts exclude all taxes, duties, levies, cess, and GST. The company has confirmed that these contracts do not fall under related party transactions and that there is no interest from the promoter or promoter group in the entities awarding these contracts.

Implications for Power Mech Projects

These new contracts significantly bolster Power Mech Projects' order book, reinforcing its position in the power sector. The diverse nature of these projects, spanning different states and encompassing both thermal power plant commissioning and ongoing operations and maintenance, demonstrates the company's versatile capabilities in the energy sector.

The successful acquisition of these contracts underscores Power Mech Projects' competitive edge in securing high-value projects from reputable clients in the power generation industry. As the company continues to expand its portfolio, these new additions are likely to contribute positively to its revenue stream and operational growth in the coming years.