Ashoka Buildcon Limited has received a Letter of Acceptance (LOA) from Rail Vikas Nigam Limited (RVNL) for a ₹602.16 crore project, including GST, covering electro-mechanical works for four tunnels under the Rishikesh-Karnprayag New Broad Gauge Rail Line Project in Uttarakhand. The company disclosed the development to the stock exchanges on 29th August, 2026 under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations.
The LOA from RVNL dated August 28, 2026 relates to Package-3 under Package E-4 of the Rishikesh-Karnprayag New BG Rail Line Project. The package covers Tunnel T-13, T-14, T-15 and T-16 in Uttarakhand.
Scope Covers Electro-Mechanical Systems
Under the project, Ashoka Buildcon will undertake the supply, erection, testing and commissioning of electro-mechanical systems for the four tunnels. The scope includes 33/11 kV and 11/0.433 kV GIS substations, HT and LT cables, diesel generator sets, lighting systems, UPS systems, ventilation systems and fire-fighting systems, along with other associated works.
The project has been awarded by RVNL, a domestic entity and is structured as a percentage-rate bidding contract. Ashoka Buildcon is required to submit a performance bank guarantee of ₹25.51 crore to RVNL. The contract also carries a two-year defect liability period.
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30-month Execution Period
According to the company’s disclosure, the project has a completion period of 30 months from the date of commencement. The broad consideration for the contract stands at ₹602.16 crore, including GST. The project adds to Ashoka Buildcon’s presence in India’s railway infrastructure segment, particularly in areas involving complex tunnel-related engineering and electro-mechanical systems.
The Rishikesh-Karnprayag New Broad Gauge Rail Line is a major railway infrastructure project in Uttarakhand, involving challenging Himalayan terrain and extensive tunnel and bridge works. With the latest LOA, Ashoka Buildcon will be responsible for critical electrical and mechanical infrastructure required for the operation and safety systems of four tunnels covered under the package.
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Ashoka Buildcon Expands Railway Infrastructure Portfolio
The latest order strengthens Ashoka Buildcon’s portfolio in railway infrastructure and adds another sizeable project to its order pipeline. While the project commencement date has not yet been disclosed, the stated execution period is expected to run for a period of 30 months from the date of commencement.
The company has also stated that there is no promoter or promoter-group interest in the entity awarding the contract and that the order does not fall under related-party transactions.
The ₹602.16 crore contract therefore represents a significant addition to Ashoka Buildcon’s project portfolio as the company takes up electro-mechanical works across four tunnels of the Rishikesh-Karnprayag railway project.
