Order Win (Pending Final Award)
Patel Engineering declared L1 bidder for ₹1,593 Cr hydropower project in Nepal
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Patel Engineering Limited has been declared the lowest bidder (L1) for a ₹1,593.08 crore contract for Package 2 of the 669 MW Lower Arun Hydropower Project in Nepal.
PRICE-SENSITIVE TRIGGER
Event: Declared L1 bidder for hydropower project
Type: Order Win (Pending Final Award)
Impact: Positive
Immediate Effect: Strengthens order pipeline visibility, though final contract award is pending
Key Metrics:
- Project Value: ₹1,593.08 crore
- Project Capacity: 669 MW (Hydropower)
- Execution Timeline: 54 months
- Geography: Nepal (International project)
Highlight:
- Large international project (~₹1,600 Cr) adds to order pipeline.
What Happened ?
Patel Engineering has been declared the lowest bidder (L1) by SJVN Lower Arun Power Development Company for Package 2 of the Lower Arun Hydropower Project in Nepal, subject to final award and contract execution.
key highlights
Project Scope:
- Civil and hydro-mechanical works
- Construction of:
- Head Race Tunnel (10.5m diameter, 5.41 km length)
- Surge shaft and pressure shaft
- Powerhouse, switchyard, tailrace channel
- Supporting infrastructure and access roads
Strategic Importance:
- Strengthens presence in hydropower EPC segment
- Expands international project portfolio
- Aligns with expertise in tunnelling and hydro projects
Execution Timeline:
- Estimated completion: 54 months (~4.5 years)
Client Details:
- Awarding entity: SJVN Lower Arun Power Development Company (SLPDC)
- Subsidiary of SJVN
Order Status:
- Currently L1 bidder (not final order yet)
- Subject to:
- Formal award
- Contract signing
Note:
- L1 status is high probability but not guaranteed order
Risk Analysis
Key Risks
- Order not converting into final contract
- Execution risks in international geography
- Cost escalation over long execution period
- Currency and geopolitical risks
Worst Case Scenario
- If the contract is not awarded despite L1 status, expected order inflow may not materialize
Risk Level: Medium
Company Commentary
- Declared L1 for ₹1,593 Cr project
- Strong start to FY27 order pipeline
- Reinforces hydro and tunnelling expertise
- Focus on timely execution and global standards
Official Exchange Filing: Patel Engineering Limited