Civil Construction Company Secures Rs 1,593 Crore Hydropower Project in Nepal; Declared L1 Bidder for 669 MW Lower Arun Project

The Indian equity markets traded on a weak note on Wednesday, with the Nifty 50 declining 0.84 per cent to 24,173.90, down 204.20 points. Despite weakness in benchmark indices, stock-specific action remained active across sectors. Amid this, infrastructure stock Patel Engineering share price was trading at Rs 28.72, up 1.31 per cent during the session, following a key project development announced by the company.

Patel Engineering Order Update

Patel Engineering Ltd has been declared the lowest bidder (L1) for a major infrastructure project valued at Rs 1,593.08 crore.

The contract has been awarded by SJVN Lower Arun Power Development Company Pvt Ltd, a subsidiary of SJVN, for Package 2 of the 669 MW Lower Arun Hydropower Project in Nepal.Patel

Engineering Project Scope and Execution Timeline

The scope of the project includes the execution of critical civil and hydro-mechanical works. This covers the Construction of head race tunnels, surge shafts, pressure shafts, the powerhouse, switchyard, and associated infrastructure.

The project is scheduled to be completed within a period of 54 months, highlighting a long-term execution pipeline for the company.

Strategic Significance of the Order

This order strengthens Patel Engineering’s position in the hydropower segment and adds to its international project portfolio. The project is located in Nepal’s Sankhuwasabha district and is a key development in the region’s renewable energy infrastructure.

The contract is not a related party transaction, and the promoter group has no interest in the awarding entity, ensuring transparency in the deal structure.

Patel Engineering Management Commentary

“We are pleased to begin Q1 FY27 on a positive note, having been declared L1 for this important order of approximately ₹1,600 crores. Nepal holds immense hydroelectric potential, and the Lower Arun project is a significant step toward harnessing that energy for sustainable growth. For Patel Engineering Ltd., this award is not just about building infrastructure – it is about contributing to Nepal’s vision of energy independence and regional prosperity. With our ongoing work at Arun-3 Hydropower project just about 35 kms away from Lower Arun Site and our proven track record across India, we are committed to bringing world-class engineering and timely execution to Lower Arun, ensuring it becomes a benchmark for development in the region.”

About Patel Engineering

Patel Engineering Ltd is a Mumbai-based infrastructure company with a strong presence in hydropower, tunnelling, and irrigation segments. Established in 1949, the company has completed over 85 dams, 40 hydroelectric projects, and more than 300 km of tunnelling across domestic and international markets.

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Disclaimer: This article is for informational purposes only and not investment advice.