Order Win
Deep Industries Secures ₹49.10 Crore ONGC Charter Hiring Contract for Natural Gas Compression Services
NSE
DEEPINDS
BSE
543288
Deep Industries Limited has received a Letter of Award (LoA) from Oil and Natural Gas Corporation Limited (ONGC) for providing charter hiring services for Natural Gas Compression at the Paliyad, Ahmedabad asset. The five-year contract carries an estimated value of approximately ₹49.10 crore.
PRICE-SENSITIVE TRIGGER
Event: Receipt of Letter of Award (LoA) from ONGC for Natural Gas Compression services.
Type: Order Win
Impact: Positive
Immediate Effect: Secures a five-year ONGC contract worth approximately ₹49.10 crore, strengthening revenue visibility.
Key Metrics:
- Revenue: Not Disclosed
- EBITDA: Not Disclosed
- PAT: Not Disclosed
- EBITDA Margin: Not Disclosed
- PAT Margin: Not Disclosed
- QoQ Movement: Not Disclosed
- YoY Movement: Not Disclosed
- Segment Performance: Not Disclosed
Highlight:
- Order Value: Approximately ₹49.10 crore
- Execution Period: 5 Years
What Happened ?
Deep Industries Limited informed the stock exchanges that it has received a Letter of Award from Oil and Natural Gas Corporation Limited (ONGC) for charter hiring services related to Natural Gas Compression at ONGC’s Paliyad, Ahmedabad asset.
The contract is valued at approximately ₹49.10 crore and is scheduled to be executed over a period of five years, providing long-term business visibility in the company’s core oil and gas services segment.
Key Details
Operational Highlights:
- Awarding entity: Oil and Natural Gas Corporation Limited (ONGC).
- Contract for charter hiring services for Natural Gas Compression.
- Services will be executed at ONGC’s Paliyad, Ahmedabad asset.
- Estimated contract value is approximately ₹49.10 crore.
- Contract tenure is five years.
- The order has been awarded by a domestic entity.
- The contract has been received in the ordinary course of business.
- No promoter, promoter group, or group company has any interest in the awarding entity.
- The transaction does not qualify as a related-party transaction.
Note:
- The company has received a Letter of Award. Financial contribution will depend on the execution schedule over the five-year contract period.
Risk Analysis
Summary:
- The order enhances revenue visibility; however, execution performance and project timelines will determine actual financial realization.
Key Risks:
- Revenue recognition depends on successful contract execution.
- Operational delays could impact project milestones.
- Performance obligations must be met throughout the five-year tenure.
- Any changes in customer requirements may affect execution schedules.
Worst Case:
- Execution delays or contract modifications could defer revenue realization and impact project profitability.
Risk Level: Low
Company Commentary
- Deep Industries has received a Letter of Award from ONGC.
- The contract covers charter hiring services for Natural Gas Compression.
- The estimated contract value is approximately ₹49.10 crore with a tenure of five years.
- The award has been received in the ordinary course of business.
- The contract is not a related-party transaction.
Official Exchange Filing: Deep Industries Limited
