Ceigall India Gets ₹5,300 Crore REC Transmission Project; Shares Rise 2%

Mumbai September, 03: Ceigall India Limited has received a Letter of Intent from REC Power Development and Consultancy Limited for a transmission project with an estimated total project cost of around ₹5,300 crore, including GST.

According to the company’s exchange filing, the LOI relates to a tariff-based contract for a Common Transmission System involving a 765/400 kV AIS substation and a 300 km transmission line.

The project will evacuate power from Lakadia in Gujarat’s Kutch region under Phase-II, Jam Khambhaliya under Phase-II and Jamnagar under Phase-I. The transmission system is linked to power evacuation requirements from these renewable energy zones.

The project has a scheduled work execution period of 36 months, followed by an operational period of 35 years.

Stock Market Snapshot

The Ceigall India share price was at ₹347.40 as of 3:13 PM IST on September 3, 2026, up ₹6.80, or 2%, from the previous close of ₹340.60.

The stock opened at ₹341.05 and moved to a high of ₹357.50 during the session. It touched a low of ₹337.55 before recovering sharply in afternoon trade.

The shares moved above ₹345 following the day’s earlier weakness and remained higher at the time of the market update. The indicative close shown on the trading screen was ₹349.

REC Project Carries ₹608.67 Crore Annual Transmission Charges

The filing states that the project carries annual transmission charges of ₹608.67 crore for 35 years.

The estimated total project cost is approximately ₹5,300 crore, including GST. The long operating period means the project is structured around a multi-decade transmission concession rather than a short-term construction contract.

Ceigall India will have 36 months to execute the transmission system, after which the project will enter its scheduled operational period.

Project Includes 765/400 kV Substation And 300 Km Transmission Line

The scope of the project includes development of a 765/400 kV air-insulated substation along with a 300 km transmission line.

The transmission infrastructure is intended to support power evacuation from identified generation zones in Gujarat. The project therefore combines large-scale substation construction with long-distance transmission infrastructure.

For Ceigall India, the LOI adds a sizeable transmission opportunity to its infrastructure portfolio and expands its exposure beyond conventional road and civil construction activities.

Ceigall India Expands Into Large-Scale Power Transmission

Ceigall India operates across infrastructure development and engineering activities, with experience in road construction and other large-scale projects.

The latest project gives the company an opportunity to participate in the power transmission segment through a tariff-based contract. It also brings a long-term operational component, with the filing specifying a 35-year operational period.

The company said the promoter and promoter group have no interest in the entity awarding the contract. The project has also not been classified as a related-party transaction.

Long-Term Transmission Project Adds Order Visibility

The combination of a 36-month construction period and 35-year operational period gives the project a considerably longer time horizon than a conventional EPC assignment.

The ₹5,300 crore estimated project cost also makes the LOI a significant addition to Ceigall India’s infrastructure pipeline. However, the company has disclosed the development as a Letter of Intent, and the project remains subject to the applicable contractual and project conditions.

The annual transmission charge specified in the filing provides the financial framework for the operational period of the project.

Conclusion

Ceigall India has received a Letter of Intent from REC Power Development and Consultancy for a Common Transmission System project with an estimated total project cost of around ₹5,300 crore.

The project includes a 765/400 kV AIS substation and a 300 km transmission line, with 36 months scheduled for execution and a 35-year operational period. Annual transmission charges are estimated at ₹608.67 crore.

The Ceigall India share price was at ₹347.40, up 2%, as of 3:13 PM IST on September 3, 2026, after touching a session high of ₹357.50.

Source:

• https://www.nseindia.com/get-quote/equity/CEIGALL/Ceigall-India-Limited