BGR Energy bags NTPC order worth Rs 1,855 cr

Company enters supercritical power equipment space with the first contract from NTPC

BGR Energy today said it has secured an order worth Rs 1,855 crore from National Thermal Power Corporation (NTPC) for supply of two super-critical boilers that marks its foray into high-end power equipment space.

"BGR Energy has received 'Letter of Award' from NTPC for supply of 2x660 MW super-critical boilers to be set up at Solapur in Maharashtra. The order is valued at Euro 109.79 Mio plus Rupee component of 1,121 crore [about Rs 1855 crore]," Chennai-headquartered BGR Energy said in a statement.

The execution period of the contract is 48 months, it said, adding that the foreign exchange variation risk is fully protected.

"This order is a breakthrough of great significance to the company as we enter supercritical power equipment space with first contract from NTPC, the largest utility in India," BGR Energy Chairman and Managing Director BG Raghupathy said.

Early this year, BGR Energy Systems emerged as the lowest bidder in the NTPC bulk tender for supply of 11x660 MW super-critical boilers. The project would be set up across the country.

BGR Energy would execute these projects in collaboration with Hitachi Power, Europe, Germany and BGR Boilers, where the company has entered into a joint venture collaboration for transfer of technology and equity participation, the statement added.

Shares of BGR Energy today closed at Rs 363.60 apiece, up 2.26% over their previous close on the BSE.