RKEC Projects bags Rs 197.59-cr order from Maharatna PSU ONGC for jetty revampin

RKEC Projects has received a significant work order worth Rs 197.59 crore from the Maharatna Public Sector Undertaking (PSU), Oil and Natural Gas Corporation (ONGC).

This news boosted RKEC Projects' stock, pushing it up by 20% to trade at Rs 62.58 on the BSE.

 

Project Details and Scope (PSU Focus)  
The contract, awarded by ONGC’s Central Procurement Department in New Delhi, is called the "Jetty Revamping Project."

This important infrastructure work includes:

- Strengthening, repairing, and improving the existing jetty infrastructure at the Nhava Supply Base.

Completing this project is essential for ONGC, India’s largest crude oil and natural gas company, which accounts for about 71% of domestic production. Maintaining strong supply infrastructure, like the Nhava Jetty, is vital for ONGC's ongoing operations in oil and gas exploration and production.

RKEC Projects focuses on civil and defense construction, covering marine works, buildings, highways, and bridges.

Financial and Market Context  
Winning this contract gives RKEC Projects a clear path for future revenue, especially after some disappointing recent financial results:

- RKEC Projects Q2 FY26 Net Profit: Dropped 54.4% to Rs 1.71 crore (compared to Rs 3.75 crore in Q2 FY25).
- RKEC Projects Revenue: Decreased 59.6% year-on-year to Rs 31.03 crore.

At the same time, ONGC (where the Government of India holds a 58.89% stake) shared strong financial results:

- ONGC Q2 FY26 Consolidated Net Profit: Increased 5.4% to Rs 10,785 crore.
- ONGC Gross Revenue: Slightly fell by 0.9% to Rs 1,57,911 crore.

Despite its solid profit, ONGC's shares dropped 0.47% to close at Rs 245.75 on the BSE.

Join PSU Connect on WhatsApp now for quick updates!Whatsapp Channel