Rail Vikas Nigam Limited has officially received the Letter of Award (LOA) from National Mineral Development Corporation (NMDC) Limited for the construction of residential towers at Iron Ore Deposit-10/11A in Bacheli, Chhattisgarh. The company disclosed this development on February 26, 2026, under Regulation 30 of SEBI (LODR) Regulations, 2015, confirming the formal award of this significant construction contract.

Project Specifications and Financial Details

The construction project involves building residential towers at the Iron Ore Deposit-10/11A site in Bacheli, Chhattisgarh. This project represents RVNL's continued expansion into residential construction sectors beyond traditional railway infrastructure development.

Regulatory Compliance and Disclosure

RVNL has fulfilled its regulatory obligations by disclosing the LOA receipt under SEBI regulations as per Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The company confirmed that this work falls within the normal course of business operations. The project does not involve any related party transactions and maintains arm's length dealing principles. No promoter or group company interests are involved in the awarding entity.

Strategic Business Impact

This contract award demonstrates RVNL's successful diversification strategy beyond railway infrastructure projects. The substantial project value of ₹536.40 crore will provide steady revenue recognition over the 34-month execution period, contributing significantly to the company's business pipeline and financial stability. The project represents a major milestone in RVNL's expansion into the residential construction segment within the mining sector.

Rail Vikas Nigam Limited has announced the receipt of a Letter of Award (LOA) from National Mineral Development Corporation (NMDC) for a comprehensive township development project in Chhattisgarh. The company disclosed this development to stock exchanges under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, marking a significant expansion in project scope and value.

Updated Project Details and Scope

The awarded contract involves the development of a complete township in Kirandul, Chhattisgarh, representing a substantial infrastructure development project that has expanded beyond the initial residential tower construction. The project specifications demonstrate the company's enhanced role in comprehensive urban development.

Regulatory Compliance and Disclosure

Rail Vikas Nigam Limited made the announcement pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company emphasized that this project falls within the normal course of business operations, indicating alignment with its core competencies in infrastructure development.

The disclosure included a comprehensive declaration as per SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, providing detailed project information and compliance confirmations through Annexure A.

Enhanced Contract Framework

The updated agreement operates under general contract conditions with expanded scope and timeline. Key aspects of the revised contractual arrangement include:

Strategic Significance and Growth

This enhanced contract award significantly strengthens Rail Vikas Nigam Limited's position in the infrastructure development sector, expanding from residential construction to comprehensive township development. The project value increase from ₹284.52 crore to ₹371.69 crore reflects the expanded scope and the company's growing capabilities in handling large-scale urban development projects.

The extended 21-month execution timeline, compared to the previous 16-month period, accommodates the comprehensive nature of township development, including infrastructure, utilities, and community facilities. The inclusion of all taxes in the ₹371.69 crore project value provides complete financial transparency and eliminates potential cost variations during the extended execution period.