Punj Lloyd up 10% on order from PRPC Refinery in Malaysia

Moneycontrol Bureau

Shares of Punj Lloyd are locked at 10 percent upper circuit on Monday on bagging big RAPID Tank Farm order in Malaysia.

The diversified EPC giant announced winning the mega Rs 3,515 crore (USD 581 million) RAPID Tank Farm order from PRPC Refinery and Cracker Sdn. Bhd, a subsidiary under the Petroliam Nasional Berhad (Petronas) group, Malaysia's national energy company, said the company in its filing.

The Tank Farm is part of Petronas's Refinery and Petrochemical Integrated Development (RAPID) project (developed within a 6242-acre site) in Pengerang, Johor, Malaysia.

"We should be able to complete the order over next 2.5-3 years," JP Chalasani, managing director and group CEO.

He added that the company targets to bring debt down by 35-40 percent by FY15-end while in October, the sale of non-core assets will bring debt down by Rs 1,000 crore. The company has Rs 6,500 crore of debt on balance sheet while total claims on paper stand at Rs 10,000 crore.

PIC forms part of the Johor State's Pengerang Intergrated Petroleum Complex (PIPC), which is under Malaysia's Economic Transformation Programme (ETP) to establish new engines of growth of Malaysia.

With this win, Punj Lloyd Group's order book backlog reaches Rs 24,679 crore.

At 10:00 hours IST, the stock was quoting at Rs 40.60, up Rs 3.65, or 9.88 percent on the BSE. There were pending buy orders of 186,003 shares, with no sellers available.