Bharat Heavy Electricals Limited (BHEL) announced on Tuesday that it has bagged a major order for a sulphur recovery unit from IOCL against stiff international competitive bidding.
With this order, the company has made an entry into the downstream oil & gas process package business, BHEL said in a regulatory filing.
"The package, valued at over ₹400 crore, envisages setting up a 525 TPD Sulphur Recovery Unit at IOCL’s Paradip Refinery in Odisha," BHEL said in a statement.
Notably, the company’s diversification strategy into non-coal based business areas has begun paying dividends. "With the execution of this order, BHEL will establish itself as an LSTK player for process packages in the downstream oil & gas sector," it said.
BHEL’s scope in the contract includes project management, residual process design, detailed engineering, procurement, manufacturing, supply, testing, erection, construction, commissioning and performance guarantee test run of the 525 TPD Sulphur Recovery Unit. The project is scheduled for completion in 25 months.
The company offers solutions for transportation, transmission, renewables, energy storage systems and e-mobility, water management, defence & aerospace, captive power generation and mechanical and electrical industrial products.
On Tuesday, BHEL's scrip on BSE traded 0.31% higher at 48.85 apiece during late trade.
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