BHEL gets LoA from Bharat Coal Gasification for contract worth Rs 2,800 crore 

Public sector major Bharat Heavy Electricals Ltd (BHEL) on Tuesday said it has received a preliminary acceptance or a Letter of Acceptance (LoA) from Bharat Coal Gasification and Chemicals (BCGCL) for a contract worth Rs 2,800 crore. The order relates to Syngas Purification Plant (LSTK 2 Package) of BCGCL's Coal to 2000 TPD Ammonium Nitrate Project at Lakhanpur, Jharsuguda District, Odisha. 

The contract involves design, engineering, supply of equipment, civil works, erection, commissioning and O&M services for LSTK 2 Package.

Bharat Coal Gasification and Chemicals Limited (BCGCL)  is a joint venture company of Coal India Limited (51%) & Bharat Heavy Electricals Limited (49%).

BHEL is one of the promoter companies of BCGCL, as well as the Executing agency for the contract of Syngas Purification Plant (LSTK 2 Package). BCGCL is the Joint Venture Company of CIL and BHEL.

The order was communicated to bourses after market hours today. BHEL shares ended on a flat note at Rs 276.05 against the previous close of Rs 274.60. Market cap of the firm stood at Rs 96,122 crore.