The Rail Vikas Nigam Ltd (RVNL) has awarded Jindal Steel and Power Ltd (JSPL) an order to supply 89.042 tonnes rail for its upcoming projects. The project worth Rs 665 crore is JSPL’s second biggest order in just a year from Indian Railways, Financial Express has reported.
Speaking to media, JSVL Managing Director Naushad Akhter Ansari, said: “This order is indicative of JSPL’s strategic commitment to growing its footprint in the domestic Rail segments.”
JSPL will be supplying 89,042 tonnes of UIC 60 kg IRS T-12 880-grade 13-meter rails to RVNL. The order will be delivered from JSVL’s Raigarh plant in Chhattisgarh. The Raigarh plant operated by the Jindal group has a capacity to produce 1 million tonne per annum (MTPA) rail.
JSVL completed its first rail order ever by supplying close to 1 lakh tonnes rails to the Indian Railways in April 2019. This project will be the company’s second such contract in less than a year. JSVL is part of the OP Jindal Group, a $22 billion conglomerate with interests in steel, power, mining and infrastructure projects.
RSVL operates as an extended arm of Indian Railways and acts as an umbrella special purpose vehicle (SPV) to award and undertake projects.