Shares of Rail Vikas Nigam Ltd (RVNL) slumped 4% on 20 May despite the company announcing emerging as the Lowest Bidder (L1) for an order.
RVNL won an order from IRCON International Ltd. with the lowest bid. The contract covers the delivery of signalling, telecommunications, and electronic in-motion weigh bridge (EIMWB) materials.
The order will cover the installation, testing, and commissioning of distributed/centralised electronic interlocking installations at ten new stations: Surakacchar, Block Cabin, Katghora Road, Bhingra, Putuwa, Matin, Sendurgarh, Putipakhana, Dhangawan, and Bhadi.
RVNL stated in an exchange filing that it will also include six new intermediate block signalling (IBS) in the Bhingra-Putuwa, Putuwai-Matin, Sendurgarh-Putipakhana, Putipakhana-Bhadi, Bhadi-Dhangawan, and Dhangawan-Pendra Road block sections.
The company will also install, test, and commission a new section control system with headquarters and wayside train control communication equipment/system in the Gevra Road-Pendra Road section, as well as conduct telephone exchange and EIMWB installations at appropriate locations through the execution of various signalling and telecommunication works.
Finally, the order includes adjustments or improvements to the existing panel interlocking installation at Kusmunda Block Station yard and the current electronic interlocking installation at East Cabin of the SECL SILO Siding yard, as well as other miscellaneous work.
On 15 May, RVNL obtained a letter of intent from the Central Railway for a nearly Rs 116 crore contract to upgrade the electric traction system.
According to the corporation, the order is expected to be completed within 24 months.
The contract is for the conversion of the current 1×25 KV electric traction system to 2×25 KV at the feeding system in the Itarsi-Amla portion of the Nagpur Division, according to RVNL.
At 1:32 pm, the shares of RVNL were trading 3.02% lower at Rs 418.20 on NSE.
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