Water solutions firm VA Tech Wabag has secured a medium-term contract from Reliance Industries for the development of an effluent treatment plant (ETP) at the Dhirubhai Ambani Green Energy Giga Complex (DAGEGC), Jamnagar facility located in Gujarat.
In VA Tech’s parlance, ‘medium’ orders range between Rs 100 – 250 crore.
VA Tech-RIL: Project details
Under the scope of work, VA Tech Wabag will be responsible for the design, engineering, manufacturing, supply, erection & commissioning for the Reliance Industries water plant located at Jamnagar.
The order value falls between Rs 100 to Rs 250 crore, and the proposed ETP is scheduled to be completed within 13 months from the date of execution. The project’s design comprises chemical and biological treatment plants using heavy technologies, along with a sludge treatment incorporating low-temperature drying for efficient sludge management, the company said in its regulatory filing.
The water treatment company clarified that the domestic project involves no related-party transactions, and neither the promoter nor the promoter group entities have an interest in the awarding entity.
VA Tech Wabag: Management commentary
Speaking on the development, Sivakumar V, Senior General Manager – Sales and Marketing, India Cluster, said, “This repeat order reinforces our long-standing relationship with RIL, a key customer… We are pleased to be associated with RIL and support its evolving water and wastewater management requirements.
He added that the Jamnagar plant is evidence of WABAG’s technological expertise and execution capabilities in providing advanced industrial water and wastewater treatment solutions.
VA Tech-RIL share price
VA Tech Wabag’s share price was down nearly 1% in Monday’s intraday trade. Over the past one month, its stock has delivered a return of nearly 2%, while over the past six months, its share price has climbed over 67%.
Reliance Industries stock was down around 1% in the intraday trading session. Over the past one month, its share price has fallen by more than 1%, while over the past six months, its stock has declined by over 4%.