India: NMDC Restores Raw Material Handling System Contract with BHEL

Bharat Heavy Electricals Limited - a govt owned unit yesterday in a BSE filing informed that - "a contract to construct a Raw Material Handling System at NMDC's under construction Integrated Steel Plant, Nagarnar, Bastar district — Chhattisgarh, is being executed by BHEL-ISG Bengaluru division."

BHEL received on 15th July 2019, a Notice of Termination dated 13th July 2019 from NMDC for the above contract. Subsequent to the discussions, NMDC has revoked the termination of the contract and restored the original contract on 27th August 2019.

Way back in 2011, NMDC had awarded the contract to construct the raw material handling system (RMHS) to BHEL and the equipment maker was supposed to complete the package by February, 2014.

NMDC is commissioning greenfield steel plant at Nagarnar in Chhattisgarh with a capacity of 3 MnT.