RVNL Secures Rs 2.1 Bn Railway Project

11 Feb 2025 CW Team

Rail Vikas Nigam Limited (RVNL) has emerged as the lowest bidder (L1) for a significant railway project valued at approximately Rs 2 billion. The order, announced after market hours on Friday, has been awarded by the South Eastern Railway for the upgradation of the electric traction system from 1x25 KV to 2x25 KV in the Kharagpur-Tatanagar section of the Kharagpur or Chakradharpur division. The project is part of efforts to meet a loading target of 3,000 MT. Project Details: • Scope: Design, supply, erection, testing, and commissioning of the upgraded traction system. • Project Cost: Rs 21 billion (including applicable taxes). • Execution Timeline: 24 months. • Tender Reference: SER-OHE-KGP-TATA-225KV. SBI Securities analysts view the development as positive for RVNL in the short term, reflecting its robust position in securing high-value projects. The order enhances RVNL’s revenue visibility and demonstrates its capability to execute technically demanding railway projects. Key Highlights: • The order marks another milestone for RVNL in contributing to the modernisation of Indian Railways. • It underscores RVNL’s competitive bidding strategy and operational excellence. • The project aligns with government efforts to strengthen railway infrastructure and freight capabilities.

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