Rail Vikas Nigam Limited Wins Big Construction Project in Odisha
Rail Vikas Nigam Limited (RVNL), a state-owned company, has been awarded a major construction project by East Coast Railway in Odisha. The project is valued at Rs 283.69 crore and is expected to be completed in 24 months.
Project Details
The project includes the construction of the 3rd and 4th railway lines between Jarapada and Talcher Road, and a new line between Angul and Balram. The work involves earthwork, bridges, track linking, and other miscellaneous tasks.
Company Background
RVNL, under the Ministry of Railways, was granted ‘Navratna’ status last year, allowing it to invest up to Rs 1,000 crore without central government approval. The company was established in 2003 to enhance rail infrastructure and was granted ‘Mini-Ratna’ status in 2013.
Stock Performance
RVNL’s shares have risen around 190% in 2024 and 205% over the past 12 months. At the time of this report, the shares were trading 1.1% lower at Rs 525.65 per share.
Future Collaborations
RVNL has also signed a Memorandum of Understanding (MoU) with the Delhi Metro Rail Corporation (DMRC) to collaborate on design, construction, and consultancy projects both in India and abroad.
Doubts Revealed
Rail Vikas Nigam Limited (RVNL) -: RVNL is a company owned by the Indian government that works on building and improving railways in India.
East Coast Railway -: East Coast Railway is one of the zones of Indian Railways that manages train services in the eastern part of India, including Odisha.
Odisha -: Odisha is a state in eastern India, known for its rich culture and history.
Rs 283.69 crore -: This is a large amount of money, where ‘Rs’ stands for Indian Rupees, and ‘crore’ means ten million. So, Rs 283.69 crore is 2,836,900,000 rupees.
Navratna status -: Navratna status is a special recognition given by the Indian government to certain public sector companies for their good performance, giving them more financial and operational freedom.
Shares rise -: When we say shares rise, it means the value of the company’s stock in the stock market has increased, making the company more valuable.
MoU -: MoU stands for Memorandum of Understanding, which is an agreement between two parties to work together on something.
Delhi Metro Rail Corporation -: Delhi Metro Rail Corporation is the company that operates the metro train services in Delhi, the capital city of India.