IRCON Secures ₹529 Crore Railway Project in MP 🚂

Hey there, finance explorers! 👋 Big news from the infrastructure sector today, as Ircon International Limited (IRCON) has just announced a significant win that’s set to bolster its project pipeline.

IRCON, a key player in India’s infrastructure development, has secured a substantial Letter of Award (LOA) from Rail Vikas Nigam Limited (RVNL). This isn’t just any contract; it’s a major domestic railway project valued at a whopping INR 755.78 crore (including GST)! 💰

What’s particularly interesting is that IRCON is undertaking this project in a Joint Venture (JV) mode. They’ve partnered with M/s JPWIPL, with IRCON holding a dominant 70% share, while JPWIPL holds the remaining 30%. This strategic collaboration allows them to leverage combined expertise for a project of this scale.

So, what exactly does this project entail? It’s a comprehensive undertaking for the construction of a new Broad Gauge (BG) railway line in the Indore-Budni section of the Bhopal Division, West Central Railway, in Madhya Pradesh. The scope is quite broad, covering everything from roadbed and minor bridges to buildings, track installation (excluding rails, sleepers, and switches), and other crucial civil engineering and general electrical works. Essentially, it’s about building a vital piece of railway infrastructure from the ground up! 🛤️

The project is an ‘Item Rate Contract’ and is expected to be completed within 36 months, followed by an additional 6-month Defect Liability Period (DLP). For IRCON, their share of this massive project stands at approximately INR 529.05 crore (including GST).

This new award from RVNL underscores IRCON’s continued role in strengthening India’s railway network and its commitment to large-scale infrastructure development. It’s certainly a positive development for the company and its future prospects! ✨

source: Corporate Announcement

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