Patel Engineering surges after signing MoU to revive 144 MW Gongri Hydropower project

Patel Engineering surged 5.51% to Rs 30.65 after it has signed a memorandum of understanding (MoU) with the Government of Arunachal Pradesh for the restoration and development of the 144 MW Gongri Hydropower Project in West Kameng District.

The Gongri Hydroelectric Project, located near Dirang town on the Gongri river, a tributary of the Bichom river in the Kameng basin, had been previously terminated but was revived under the Arunachal Pradesh Restoration of Terminated Large Hydropower Policy under Special Circumstances, 2025. It is the first project reinstated under this framework.

The total project cost was estimated at Rs 1,700 crore, with a planned completion timeline of four years. The revival aligned with Arunachal Pradeshs Decade of Hydropower initiative, aimed at positioning hydropower as a key contributor to the state economy while promoting employment, infrastructure development, and sustainable growth.

Under the MoU, Patel Engineering undertook the projects entire lifecycle, including preparation and validation of the Detailed Project Report (DPR), design and engineering of the hydroelectric system, procurement of electro-mechanical equipment, construction of the dam and powerhouse, installation and commissioning of turbines and generators, and development of transmission infrastructure. The company also committed to overseeing operations and maintenance post-commissioning.

The project was to be implemented on a BOOT (Build-Own-Operate-Transfer) basis for a 40-year lease period, after which ownership and operational control would revert to the Government of Arunachal Pradesh.

Patel Engineering operates in the hydropower, tunneling and irrigation segments. The company has executed projects in India and overseas, including more than 85 dams, 40 hydroelectric projects and over 300 km of tunneling for central PSUs and state government agencies.

On a consolidated basis, net profit of Patel Engineering declined 2.72% to Rs 71.05 crore while net sales rose 2.91% to Rs 1208.47 crore in Q2 September 2025 over Q2 September 2024.

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