Bharat Heavy Electricals Limited (BHEL) has announced the receipt of a significant order from Bharat Coal Gasification and Chemicals Limited (BCGCL), a joint venture company of BHEL and Coal India Limited (CIL).

The order, a Letter of Acceptance (LOA) received on 08th January 2026, is for the Coal Gasification & Raw Syngas Cleaning Plant (LSTK 1 Package) for BCGCL's Coal to 2000 TPD Ammonium Nitrate Project located in Lakhanpur, Jharsuguda District, Odisha, India.

The scope of the contract includes Design, Engineering, Supply of equipment, Civil works, Erection, and Commissioning, along with O&M Services for the LSTK 1 Package. The project is to be executed on a domestic tender basis, on a nomination basis.

The preliminary acceptance, including commissioning and performance guarantee test, is expected within 42 months from the date of the LOA. Following this, BHEL will provide O&M Services for 60 months from the Preliminary Acceptance.

The approximate consideration for this order is ₹5,400 Crores, excluding GST. BHEL holds a 49% stake in BCGCL, with Coal India Limited holding the remaining 51%. This order falls under related party transactions and has been conducted at arms length.