Reliance Industries awards ‘Mega’ order to VA Tech Wabag for Jamnagar plant; check how shares are performing

Shares of VA Tech Wabag, a multinational water technology company, surged as much as 8.23% to hit the day’s high of ₹1,848 apiece on the NSE on Tuesday, October 27.

The stock jumped after the company announced that it had secured a ‘Mega’ order from Reliance Industries (RIL) for the design, engineering, supply, installation, pre-commissioning, commissioning and performance guarantee test run (PGTR) of a desalination plant at Jamnagar, Gujarat.

Other details of the order

The desalination plant will have a capacity of 8,400 cubic metres per hour, expandable to 12,600 cubic metres per hour (302 million litres per day), along with a remineralisation plant with a capacity of 3,000 cubic metres per hour.

The proposed desalination plant will comprise lamella clarifiers, dissolved air flotation filters (DAFF), an ultrafiltration (UF) system, and associated chemical dosing and backwash systems.

These will be followed by seawater reverse osmosis (SWRO) and brackish water reverse osmosis (BWRO) systems, along with dosing, product water storage and brine outfall pumping systems.

The remineralisation plant will comprise limestone filters, a lime-handling system, carbon dioxide storage and dosing systems, and storage and pumping systems.

The company added that the project is expected to be executed in phases over 25 months.

Va Tech Wabag's order classification

Va Tech Wabag classifies its orders into five categories based on order value.

• For domestic orders, denominated in INR crore, Small orders are valued at up to ₹100 crore, Medium orders range from ₹100 crore to ₹250 crore, Large orders range from ₹250 crore to ₹600 crore, Major orders range from ₹600 crore to ₹1,000 crore, and Mega orders exceed ₹1,000 crore.

• For international orders, denominated in USD millions, Small orders are valued at up to USD 10 million, Medium orders range from USD 10 million to USD 30 million, Large orders range from USD 30 million to USD 75 million, Major orders range from USD 75 million to USD 150 million, and Mega orders exceed USD 150 million.

About VA Tech Wabag

VA Tech Wabag is an Indian multinational water technology company that provides water and wastewater treatment solutions for municipal and industrial clients.

Its services cover the water treatment lifecycle, including design, engineering, construction, installation, commissioning, and operations.

The company has a presence in more than 25 countries and has designed and built over 1,500 water and wastewater treatment plants globally. It also operates research and development centres in Europe and India.