News

Hindustan Construction Company Limited (HCC) announced on Friday that its joint venture with VCCL, HCC-VCCL JV, has secured a major infrastructure contract of around Rs 901 crore from the Northeast Frontier Railway (NFR). The project involves the construction of New Tunnel-28 on the Tupul-Imphal new Broad Gauge (BG) railway line, a critical part of the region’s railway expansion.

In an exchange filing, HCC stated that it holds a 65 per cent stake in the JV, which will be responsible for the end-to-end execution of the project. The contract includes the construction of a 3.5-kilometre main tunnel, along with comprehensive design, engineering, and commissioning services.

"The project has been awarded to the HCC-VCCL Joint Venture (HCC-VCCL JV), in which HCC holds a 65 per cent stake," the exchange filing read.

The scope of work covers the design and proof-checking of a ballast-less Broad Gauge track, followed by the supply, installation, testing, and commissioning of all related railway systems. The project also involves the design, supply, erection, and commissioning of tunnel ventilation systems, as well as complete electro-mechanical works.

Moreover, the JV will handle the construction of approach roads and ancillary works, ensuring seamless integration with the surrounding infrastructure.

"The project also covers the design, supply, erection, and commissioning of tunnel ventilation systems, as well as complete electro-mechanical works. In addition, the contract includes the construction of approach roads and other ancillary works necessary for integration with the surrounding infrastructure," the company said.

This project is part of India’s broader effort to expand and modernise the railway network in the northeastern region, improving connectivity and supporting economic growth.

"This important project forms part of the ongoing expansion and modernisation of India's railway network," the exchange filing read.

Shares of Hindustan Construction Company Ltd gained nearly 3 per cent in the early hours of trade after the deal announcement. As of 1:40 pm, the stock was trading at Rs 18.20, up by 1.05 per cent from the previous close of Rs 18.01.

The scrip has declined 12.63 per cent in the past month and 43.83 per cent on a year-to-date (YTD) basis.