Dilip Buildcon Secures LOI for 400 kV Sub-station Project in Karnataka
Filing Summary
Dilip Buildcon Ltd has received a Letter of Intent (LOI) from REC Power Development and Consultancy Limited for establishing a 400 kV sub-station at Mekhali, Karnataka. The project includes associated transmission lines in Belagavi District and will be executed under a 35-year concession period from the Commercial Operation Date. The construction and commissioning are to be completed within 24 months. The Engineering, Procurement, and Construction (EPC) contract is valued at approximately ₹1,850 Crore, excluding GST. The project will be developed under the Tariff Based Competitive Bidding route.
Dilip Buildcon Ltd has announced the receipt of a Letter of Intent (LOI) from REC Power Development and Consultancy Limited (RECPDCL) for the establishment of a 400 kV sub-station at Mekhali, Karnataka. The project also includes the development of associated transmission lines in the Belagavi District. The concession period for this project is set at 35 years from the Commercial Operation Date (COD).
The project will be executed under the Tariff Based Competitive Bidding (TBCB) route, with Dilip Buildcon acquiring 100% equity shares of the Project Special Purpose Vehicle (SPV) and acting as the Transmission Service Provider (TSP). The scope of work includes development, financing, design, engineering, procurement, construction, testing, commissioning, operation, and maintenance of the transmission assets. The construction and commissioning are expected to be completed within 24 months from the effective date.
The Engineering, Procurement, and Construction (EPC) contract for Dilip Buildcon is valued at approximately ₹1,850 Crore, excluding GST. The project will be executed under a tariff-based annuity model. There is no interest from the promoter or promoter group companies in the entity awarding the contract, and the transaction does not fall within related party transactions.
The trading window for dealing in the securities of Dilip Buildcon will remain closed for all insiders, designated persons, and their immediate relatives until 48 hours after the information is made publicly available, in compliance with the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015.
REC Power Development and Consultancy Limited acts as the Bid Process Coordinator on behalf of the Government of Karnataka. The company focuses on providing consultancy services in the power sector, including project management and development.
Dilip Buildcon Ltd is a leading infrastructure development company in India, specializing in the construction of roads, bridges, and other civil engineering projects. The company prioritizes expanding its portfolio in the power transmission sector and enhancing its capabilities in large-scale infrastructure projects.