JSPL bags Rs 665 crore rail order from RVNL

Steel maker Jindal Steel and Power Ltd (JSPL) Thursday said it has bagged a Rs 665 crore order from Rail Vikas Nigam Ltd (RVNL) to supply 89,042 tonnes of rails. JSPL has won an order from RVNL "to supply 89,042 tonnes of UIC 60 kg IRS T-12 880 grade 13 meter rails for its upcoming projects," the company said in a regulatory filing. "This order is indicative of JSPL's strategic commitment to growing its footprint in the domestic Rail segments," JSPL Managing Director Naushad Akhter Ansari said.

This is the second big rail order in less than a year, the first-ever rail order to JSPL for supplying close to one lakh tonnes rails to Indian Railways was completed in April, 2019, the filing added. RVNL functions as an extended arm of the Ministry of Railways. It is empowered to act as an umbrella special purpose vehicle (SPV) to undertake projects directly or by creating project specific SPVs, according to its website.

The required rails will be manufactured and supplied from its Raigarh facility. Part of the USD 22-billion OP Jindal Group, JSPL has presence in steel, power, mining and infrastructure sectors. JSPL operates 1 million tonne per annum (MTPA) rail mill at its Raigarh plant in Chhattisgarh.