RVNL Wins ₹358.97 Crore Railway Order, Project Covers 41.04-Km Track Doubling Work

New Delhi: Rail Vikas Nigam Limited (RVNL) has received a letter of acceptance from East Central Railway for a railway line doubling project worth Rs 358.97 crore, including 18 percent GST.

The order was disclosed by the state-owned railway infrastructure company in a regulatory filing on Tuesday, 28 July.

Project Details

Under the contract, RVNL will carry out the doubling of the railway line between Kundawa Chainpur and Raxaul in Bihar.

The work will cover a total distance of 41.04 km and forms part of the Sitamarhi-Raxaul railway section in the Samastipur Division of East Central Railway.

The new line will be built to support 25-tonne Indian Railway Standard loading. This will allow the route to handle heavier railway traffic and improve its overall capacity.

Work Included

The engineering, procurement and construction contract includes earthwork, blanketing and the building of minor and major bridges.

RVNL will also construct station buildings, platforms and other related structures. Level-crossing work and several other supporting activities are included in the project.

The company has been given 1,095 days to complete the order. This means the project is expected to be finished within about three years.

Domestic Contract

East Central Railway awarded the contract to RVNL through a domestic tender. The work falls within the company’s normal course of business, according to the filing.

RVNL also confirmed that its promoter, promoter group and group companies have no interest in East Central Railway, which awarded the order.

The company further said that the contract does not fall under related-party transactions.

RVNL is a public sector company under the Ministry of Railways. It carries out railway infrastructure projects, including new lines, track doubling, electrification, bridges and station development.

The latest order adds to the company’s project portfolio and supports Indian Railways’ efforts to increase track capacity.

Doubling the section could help improve train movement and reduce pressure on the existing single-line network after the construction work is completed.

Disclaimer: This report is based on RVNL’s exchange filing and does not constitute investment advice or a recommendation to buy shares.