Shares of Power Mech Projects jumped 4 percent intraday on August 18 after the company bagged a large order for five Flue Gas Desulphurization (FGD) projects from Adani Group. FGD is used to remove sulfur dioxide from exhaust flue gases of fossil-fuel power plants
The orders are for a quantum of 15 FGD retrofits to coal based units, whose sizes range between 330 MW and 660 MW, the Hyderabad-based construction and services company said in a regulatory filing.
According to the filing, the monetary value of the order is Rs 6,163.20 crore. The company management in an interview said it is targeting orders of around Rs 10,000 crore for this year.
These five projects would be implemented at Adani Group's coal based power plants in Mundra, Tiroda, Kawai and Udupi where Power Mech has already worked on other projects.
“These FGD units will effectively curb Sulphur-dioxide emissions with 92 percent recoveries and will play a vital part in helping India's ambitious goal of reducing emission-intensity as announced at the United Nations Climate Change Conference, COP26,” the company said. “Power Mech has tied up with well proven technology partners for professional support for service and supply in installing these FGDs.”
As of 10.50 am, the stock traded at Rs 1,196.60, up 4 percent. The stock has been in heavy demand in the last one month with prices rallying 41 percent in the period.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.