Knowledge Marine bags LoA from IWAI worth Rs 98 cr

Knowledge Marine & Engineering Works informed that it has received the letter of award (LoA) from the Inland Waterways Authority of India (IWAI) for the fairway maintenance of National Waterway 1 (River Ganga).

The said order includes maintenance dredging of Farakka-Kahalgaon (146 KM) stretch of River Ganga under National Waterways 1

Two nos. of cutter suction dredgers will be mobilized by the company for the said project. The company was operating trailers, backhoe and grab dredgers till now. The company said that it is very excited to enter into cutter suction dredger market and is very hopeful to execute the work on time.

The value of the said contract is Rs 98.06 crore. The contract is for a period of 3 years and further extendable by 2 more years.

Sujay Kewalramani, CEO, Knowledge Marine & Engineering Works said that, We are thrilled to announce a major breakthrough as we secure our first contract with the Inland Waterways Authority of India, underscoring our unwavering commitment to this sector wherein we will be deploying our first cutter suction dredger.

We have secured the work of 146 kms out of the total focus of Government of India approximately 20,000 kms plus river length. The potential is immense and we intended to further our efforts towards securing more business with IWAI in the coming year. This adds a new revenue stream to our dredging business. With a strong emphasis on execution, we are poised to capitalize on further opportunities within this segment.

Additionally, we are gratified that these projects are World Bank funded, as our successful qualification underscores our readiness for future contract endeavors. We have become part of the select few companies that are qualified to participate in river Dredging works.

Knowledge Marine & Engg Works is engaged in the business of owning, chartering/hiring along with manning, operation and technical maintenance of marine crafts, dredging and repairs/maintenance of marine crafts and marine infrastructure and allied works in India.

The company's consolidated net profit rose 2.48% to Rs 24.42 crore in H1 FY24 as compared with Rs 23.83 crore in H1 FY23. Net sales declined 12.90% YoY to Rs 106.88 crore in H1 FY24.

The scrip rose 0.65% to currently trade at Rs 1,510 on the BSE.

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