Shares of Chennai-based VA Tech Wabag, a supplier of water treatment and desalination systems were trading 2% higher on 13 March after the company announced that they have secured orders totaling Rs 360 crore from Indian Oil Corporation and Gail (India).
The contract includes the Design, Build, and Operation (DBO) of a 450 m³/hr UF & RO-based Effluent Recycle Plant, a Zero Liquid Discharge (ZLD) Plant based on an evaporator, a new wastewater treatment plant, and the expansion of an existing wastewater treatment plant for the integrated petrochemical complex of GAIL (India) Ltd. in Pata, Uttar Pradesh for a total consideration of Rs 340 crore.
The project’s Engineering, Procurement, and Construction (EPC) phase must be finished in 24 months, and then Operation and Maintenance (O&M) must be finished in 6 months, according to this regulation.
VA Tech Wabag stated in an exchange filing that GAIL has designated Projects and Development India Limited (PDIL) as the Engineer-in-Charge for the project. The treated water from this facility will be repurposed as makeup water for the cooling tower.
Wabag has also been given a repeat operation and maintenance (O&M) order for Rs 20 crore by Indian Oil Corporation Ltd. (IOCL) to continue maintaining the Tertiary Treatment Reverse Osmosis (TTRO) Plant at the IOCL Panipat Refinery in Haryana for an additional three years.
WABAG has been responsible for the facility’s upkeep and management since it was put into service in 2006. Notably, this TTRO plant was designed, constructed, and put into operation by WABAG almost 20 years ago, making it the first industrial water recycling facility in the oil and gas sector in the country.
S Natrajan, Head-Sales & Marketing, India Cluster, said, “We are delighted to have secured these significant industrial water treatment orders and we sincerely thank GAIL and IOCL for their trust and confidence placed in us. These repeat orders serve as a powerful testament to the strength of our long-standing customer relationships, as well as to our technical expertise and capabilities. They further solidify our leadership position in the Oil and Gas sector, marking yet another important milestone in our journey.”
At 12:52 pm, the shares of VA Tech Wabag were trading 0.77% higher at Rs 1,334.35 on NSE.
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