BHEL Secures INR 5400 Crore Order from Joint Venture BCGCL
Filing Summary
Bharat Heavy Electricals Limited (BHEL) has received an order valued at approximately INR 5400 Crores from Bharat Coal Gasification and Chemicals Limited (BCGCL), a joint venture between BHEL and Coal India Limited. The order involves the design, engineering, supply, erection, and commissioning of a Coal Gasification and Raw Syngas Cleaning Plant for BCGCL’s project in Odisha. The project is expected to achieve preliminary acceptance within 42 months, followed by 60 months of operation and maintenance services. The transaction is classified as a related party transaction conducted at arm’s length.
Bharat Heavy Electricals Limited (BHEL) has announced the receipt of an order from Bharat Coal Gasification and Chemicals Limited (BCGCL). The order, valued at approximately INR 5400 Crores excluding GST, was confirmed through a Letter of Acceptance on 8th January 2026. BCGCL is a joint venture company between BHEL and Coal India Limited, with BHEL holding a 49% stake.
The order pertains to the Coal Gasification and Raw Syngas Cleaning Plant (LSTK 1 Package) for BCGCL’s Coal to 2000 TPD Ammonium Nitrate Project located in Lakhanpur, Jharsuguda District, Odisha, India. The scope of work includes design, engineering, supply of equipment, civil works, erection, commissioning, and operation and maintenance (O&M) services.
The project is expected to achieve preliminary acceptance, including commissioning and performance guarantee tests, within 42 months from the date of the Letter of Acceptance. Following this, BHEL will provide O&M services for a period of 60 months. The order is classified as a domestic tender awarded on a nomination basis and falls under related party transactions, conducted at arm’s length.
BCGCL, the entity awarding the contract, is a joint venture formed by Coal India Limited and BHEL. The venture focuses on coal gasification and chemical production, leveraging the expertise of both parent companies in energy and engineering sectors.
Bharat Heavy Electricals Limited is a leading engineering and manufacturing company in India, specializing in power plant equipment. The company focuses on providing sustainable energy solutions and expanding its capabilities in various sectors, including power, transmission, industry, transportation, and renewable energy. BHEL continues to engage in strategic partnerships and projects to enhance its market presence and technological expertise.