Highlights
- Power Mech secured a Rs 1,008.90 crore order from JSW Thermal Energy.
- The contract covers civil and structural works for a thermal power project.
- The project will be executed over a period of 36 months.
Power Mech Projects Limited (NSE:POWERMECH) has secured a new order from JSW Thermal Energy Limited for civil and structural works related to a thermal power project in West Bengal.
The company disclosed the development to stock exchanges on June 20, 2026, in accordance with SEBI disclosure requirements. According to the filing, the contract pertains to the Boiler, Turbine and Generator (BTG) area of a 2x800 MW thermal power project being developed at Salboni, West Bengal.
Source: Analysis by Kalkine
Contract Details
The scope of work involves executing civil and structural works for the BTG area of the project. JSW Thermal Energy Limited has awarded the contract, which is classified as a domestic order.
The project is associated with the development of a 1,600 MW thermal power facility comprising two 800 MW units. The contract value is Rs 1,008.90 crore, inclusive of GST.
Execution Timeline
Power Mech stated that the project is scheduled to be completed within 36 months from the effective date or commencement date of the works, as applicable. The order adds to the company's engineering and construction activities in the power infrastructure segment.
The execution period suggests that revenue recognition from the project is expected to be spread across multiple financial years, depending on project milestones and construction progress.
Significance Of The Order
The order represents a sizeable addition to Power Mech's project portfolio in the thermal power sector. Civil and structural works form a key component of power plant construction, covering foundations, structural frameworks, industrial buildings and supporting infrastructure required for power generation facilities.
The Salboni project is part of ongoing capacity development in India's power generation sector and involves large-scale engineering and construction activities.
Relationship With The Awarding Entity
Power Mech clarified that neither its promoters, promoter group nor group companies have any interest in JSW Thermal Energy Limited.
The company further stated that the contract does not qualify as a related-party transaction.
About Power Mech Projects
Power Mech Projects Limited operates in the engineering, procurement, construction and maintenance segments, with activities spanning power generation, industrial infrastructure, railways, transmission and distribution projects.
The company undertakes construction, erection, commissioning, operation and maintenance assignments across multiple infrastructure sectors in India and overseas markets.
Key Risks To Watch
- Delays in project execution could affect revenue recognition.
- Cost inflation may influence project margins.
- Changes in construction schedules could impact timelines.
- Working capital requirements may increase during execution.
Order Impact And Business Outlook
The Rs 1,008.90 crore contract adds a substantial project to Power Mech's order book and expands its involvement in large-scale thermal power infrastructure development.
The project's three-year execution period provides visibility on future work activity, although actual financial impact will depend on project progress, milestone completion and execution schedules.
Summary
Power Mech Projects (NSE:POWERMECH) has secured a Rs 1,008.90 crore contract from JSW Thermal Energy Limited for civil and structural works at a 2x800 MW thermal power project in Salboni, West Bengal. The domestic order is scheduled for execution within 36 months and covers the BTG area of the project. The company stated that the contract is not a related-party transaction and that promoters have no interest in the awarding entity.
FAQs
Q: What is the value of Power Mech's latest order?
A: Power Mech has secured a contract worth Rs 1,008.90 crore, inclusive of GST.
Q: Who awarded the order to Power Mech Projects?
A: The contract has been awarded by JSW Thermal Energy Limited.
Q: What is the scope of the awarded project?
A: The project involves civil and structural works for the BTG area of a 2x800 MW thermal power plant.