L&T to set up India's largest green hydrogen plant, shares rise 1%

Shares of Larsen & Toubro (L&T) soared 0.93% to an intra-day high of ₹3,497 apiece on the National Stock Exchange (NSE) on Monday, July 21. The surge in stock price follows an announcement by the company that its subsidiary will establish the nation’s largest green hydrogen plant at the Indian Oil Corporation’s Panipat Refinery in Haryana.

At around 11:26 am, L&T stock was trading 0.60% higher at ₹3,485.60 per equity share.

The plant, to be set up by Larsen & Toubro's wholly-owned arm L&T Energy GreenTech Ltd, will supply 10,000 tonnes of green hydrogen per year to Indian Oil Corporation Ltd (IOCL) for 25 years, supporting the Centre's National Green Hydrogen Mission, the firm said in a regulatory filing.

The plant, being developed under a build-own-operate model, will operate around the clock using green energy, aligning with IOCL's broader strategy to decarbonise its refining operations and contribute to the nation's net-zero goals.

The plant will produce green hydrogen using high-pressure alkaline electrolysers manufactured at L&T Electrolysers Ltd’s facility in Hazira, Gujarat, the filing further stated.

Commenting on the hydrogen plant, Subramaniam Sarma, L&T Deputy Managing Director and President, said: “The decision to set up India's maiden green hydrogen plant validates our strategy to lead the nation's energy transition. This long-term project not only deepens our partnership with IOCL but also reinforces our capability to deliver large-scale clean energy solutions.”

The project aligns with the National Green Hydrogen Mission, which aims to position India as a global hub for green hydrogen production and technology.

“This project reflects our end-to-end green energy capabilities — from electrolyser manufacturing to execution and operation. With cutting-edge technology and a skilled team, we are confident of delivering a high-performance, zero-emission plant that sets new industry benchmarks. The initiative also supports India’s Aatmanirbhar Bharat mission by deploying indigenously manufactured electrolysers — central to self-reliant clean-tech solutions and long-term decarbonisation goals,” said Derek Shah, L&T’s Head of Green Manufacturing and Development.

L&T stock performance

Shares of L&T lost 2.14% over the past week and 4.96% since the beginning of July. The scrip gained 5.08% in the first quarter of FY26 but fell 3.32% on a year-to-date basis.

While it reached a 52-week low of ₹2,965.30 on April 7, 2025, it hit a year’s high of ₹3,963.50 per equity share on December 10, 2024.

L&T has a total market capitalisation of ₹4.80 lakh crore, as of July 21, 2025, as per data on the NSE.