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Home | Business | Bhel Bags Rs 400 Cr Order From Indian Oil Corporation

BHEL bags Rs 400 cr order from Indian Oil Corporation

By PTI
Published: Published Date - 03:45 PM, Tue - 30 March 21
Representational Image. With this order, BHEL has made an entry into the downstream oil & gas process package business.

New Delhi: State-run engineering firm BHEL has bagged an order worth Rs 400 crore for setting up a sulphur recovery unit at Indian Oil’s Paradip Refinery in Odisha.

“Against stiff international competitive bidding (ICB), Bharat Heavy Electricals Limited (BHEL) has bagged a major order for a sulphur recovery unit from IOCL (Indian Oil Corporation Ltd)”, a BHEL statement said.

With this order, BHEL has made an entry into the downstream oil & gas process package business.

According to statement, the package, valued at over Rs 400 crore, envisages setting up a 525 TPD (tonne per day) sulphur recovery unit at IOCL’s Paradip Refinery in Odisha.

Notably, the company’s diversification strategy into non-coal based business areas has begun paying dividends and this is a milestone order for BHEL as part of its new growth areas initiative.

With the execution of this order, BHEL will establish itself as an LSTK (lump sum turn key) player for process packages in the downstream oil & gas sector.

BHEL’s scope in the contract includes project management, residual process design, detailed engineering, procurement, manufacturing, supply, testing, construction, commissioning and performance guarantee test run of the 525 TPD sulphur recovery unit.

The project is scheduled for completion in 25 months.

In addition to the thermal power sector, BHEL offers a broad range of products for major sectors of the Indian economy.

With focus on growth of non-coal based business, the company offers comprehensive solutions for transportation, transmission, renewables, energy storage systems and e-mobility, water management, defence & aerospace, captive power generation and mechanical & electrical industrial products.


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