L&T Construction Secures Order To Construct & Design A Part Of Mumbai-Ahmedabad Bullet Train Project
The company was also awarded the contract for the other packages --MAHSR C-4 and MAHSR C-6.
The shares of Larsen & Toubro advanced on the news that its construction arm has secured a significant order from National High-Speed Rail Corporation Ltd (NHSRCL).
The stock closed the market at Rs 1953.10, up 2.53% from the previous close.
The company said the major scope of work for the project includes the design & construction of Civil and Building works for a double line high-speed railway of a length of 8.198 Km.
Further, the scope of the work extends to designing and constructing Vadodara's main station, Confirmation Car Base, Viaduct and Bridges, Crossing Bridges, Architectural, MEP and other associated works.
"The construction arm of Larsen & Toubro has secured an order from the esteemed National High-Speed Rail Corporation Limited (NHSRCL), to design and construct Package No. MAHSR-C-5 of the Mumbai-Ahmedabad High-Speed Rail Project, the first high-speed rail corridor being implemented in the country," the statement said.
The company did not disclose the financial details of the contract.
The project alignment passes through Vadodara and Gujarat, and it is expected to be finished within 49 months.
The company was also awarded the contract for the other packages —MAHSR C-4 and MAHSR C-6— which are under execution.
To the uninitiated, the government of India has planned to construct its first high-speed rail corridor with technical and financial support from the Government of Japan. The overall cost of the project may amount to about Rs 1.1 lakh crore, which will be heavily funded by the Japanese International Cooperation Agency.
The Indian government was eyeing to execute the bullet train project before the 2024 general elections but, due to delays in land acquisition and fund allocations, the deadline has been extended by two more years.
The project intends to reduce the travelling time between Mumbai and Ahmedabad to less than two hours.
L&T is an Indian MNC that operates in over 50 countries and engages in EPC projects, hi-tech manufacturing and services.
Over the years, L&T has strengthened its capacity to build faster and reliable mass transit systems, and this project aligns with its strategic goals.