ORSL wins fifth BPCL waste-to-CBG contract, lifting cumulative order book to Rs 350 crore to Rs 500 crore

Organic Recycling Systems Ltd, or ORSL, has secured its fifth large-scale contract from Bharat Petroleum Corporation Ltd, or BPCL, for setting up an organic municipal solid waste-based compressed biogas plant at Bhilai in Chhattisgarh.

The project will be executed by ORSL’s wholly owned subsidiary, Solapur Bioenergy Systems Pvt Ltd, or SBESPL, under an engineering, procurement, Construction, operations and maintenance, or EPCOM, arrangement. ORSL said the award takes its cumulative BPCL Order Book to Rs 350 crore to Rs 500 crore.

While the precise value of the Bhilai contract was not disclosed, the company classifies a large-scale order as one valued between Rs 50 crore and Rs 100 crore. This places the individual award at roughly 48 per cent to 95 per cent of ORSL’s consolidated FY26 revenue from operations of Rs 105.07 crore, underlining the potential importance of timely project execution for the company’s revenue pipeline.

SBESPL’s scope covers the entire development cycle, including project management, technology licensing, basic and detailed engineering, procurement, construction, fabrication, transportation, installation, statutory approvals, testing, commissioning and performance-guarantee testing. The subsidiary will also operate and maintain the facility for five years after commissioning.

The plant is required to be commissioned within 15 months of the Letter of Acceptance. Performance-guarantee testing must be completed within three months from commissioning, or within 18 months of the Letter of Acceptance.

The award strengthens ORSL’s presence in the waste-to-energy project-development business, where it converts organic municipal waste into compressed biogas, a cleaner transport and industrial fuel. The company has previously outlined a strategy to move gradually beyond EPC assignments towards build-own-operate assets that could generate recurring income from CBG offtake, organic manure and related by-products. The Bhilai project, however, is structured as a long-tenure EPCOM assignment rather than a disclosed owned asset.

Pankaj Tanwar, CEO of Bioenergy at ORSL, said the project would allow the company to demonstrate its capabilities across engineering, execution, commissioning and long-term operations. He said the company would focus on meeting contractual requirements and maintaining safety, quality and operating standards.

The BPCL-specific order-book figure is substantially higher than the approximately Rs 100 crore overall order book reported by ORSL at the end of FY26. Since the new disclosure is more recent and refers specifically to cumulative BPCL orders, the two figures may reflect different reporting dates, execution stages or order-book definitions.

ORSL reported a sharp financial expansion in FY26, with consolidated revenue from operations rising 117.1 per cent year-on-year to Rs 105.07 crore. Consolidated profit after Tax increased to Rs 25.08 crore from Rs 15.62 crore a year earlier. SBESPL was the group’s principal earnings contributor during the year, accounting for about 82.5 per cent of consolidated profit after tax.

Execution will remain a key factor. Waste-to-energy projects are exposed to approval timelines, feedstock availability and quality, Logistics, equipment supply and cost-control risks. The company’s annual report has also highlighted the dependence of CBG plant economics on consistent municipal-waste supply and plant performance.

As of 9:41 AM on October 16, 2026, ORSL shares were trading at Rs 207.70, up 2.92 per cent from the previous close of Rs 201.80. The stock has gained 12.07 per cent over the past year, compared with a 5.17 per cent decline in the BSE 500, an outperformance of 17.24 percentage points.

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