Asian Energy Services wins Rs 187.6 crore Gujarat power EPC contract

What Asian Energy Services announced

Asian Energy Services Limited (AESL) disclosed on 22 June 2026 that it has secured a Rs 187.62 crore engineering‑procurement‑construction (EPC) contract from Gujarat State Electricity Corporation Limited (GSECL). The agreement covers the enhancement of the coal handling plant (Stage‑II) at the Ukai Thermal Power Station in Gujarat. The announcement was filed with the NSE and BSE in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

"Asian Energy is delighted to have won this project, which will involve upgrading the coal handling plant capacity of Ukai Thermal Power Station," said Dr Kapil Garg, Managing Director of AESL.

Contract specifics

• Contract value: Rs 187.62 crore, inclusive of GST.
• Client: Gujarat State Electricity Corporation Limited (GSECL), a state‑run utility.
• Scope: End‑to‑end EPC services – engineering, procurement, construction and commissioning – for the capacity enhancement of the coal handling plant (Stage‑II) at Ukai Thermal Power Station.
• Execution model: Lump‑sum EPC basis, meaning AESL will bear the risk of cost overruns and will receive a fixed payment upon completion.
• Timeline: The project is slated to be executed over 2‑3 years, with commissioning expected by the end of the third year.
• Geographic focus: The work will be carried out at the Ukai plant in Gujarat, marking AESL’s first major order outside the Coal India ecosystem.

Strategic significance

The contract represents a strategic milestone for AESL for several reasons:

1. Diversification of client base – Until now, AESL’s mineral infrastructure projects have been limited to Coal India and its subsidiaries (MCL, ECL, CCL, SECL, Singareni Collieries). Winning a state‑utility contract broadens its exposure to government‑driven infrastructure programmes.
2. Revenue visibility – The lump‑sum nature of the deal provides a predictable cash‑flow stream for the next two years, enhancing the company’s order‑book visibility.
3. Order‑book expansion – The addition of the GSECL project strengthens AESL’s pipeline in the mineral infrastructure vertical, complementing its existing coal handling system projects across multiple Indian states.
4. Synergy with parent company – Oilmax Energy Private Limited (OEPL), which holds a 56.01 % stake in AESL, has been expanding into the mineral sector. The new contract aligns with OEPL’s broader diversification strategy and may facilitate cross‑selling of services.

Key facts at a glance

Why this matters for investors

For shareholders, the contract delivers non‑dilutive growth potential. Because the EPC work is on a fixed‑price basis, AESL will recognise revenue as milestones are achieved, without additional capital raising. The diversification into a state‑utility client reduces reliance on Coal India, potentially lowering concentration risk. Moreover, the project’s multi‑year horizon adds to the company’s order‑book depth, which can be a useful metric for assessing future earnings stability. Investors should note that the contract does not immediately affect the balance sheet, but it does create a future revenue stream that will be reflected in the company’s financial statements as work progresses.

Conclusion

Asian Energy Services Limited’s Rs 187.62 crore EPC contract with GSECL marks its first substantial order outside the Coal India network, expanding its client portfolio to a state‑run utility and providing clear revenue visibility for the next two years. The deal strengthens the company’s order book, aligns with the diversification goals of its majority shareholder OEPL, and offers investors a tangible, non‑dilutive growth catalyst. Execution risk remains tied to the 2‑3 year project timeline, and financial impact will be realized as the work advances.

FAQs

1. What is the total value of the contract AESL won? The EPC contract is valued at Rs 187.62 crore, inclusive of GST.

2. Who is the client for this EPC project? The client is Gujarat State Electricity Corporation Limited (GSECL), a state‑run electricity utility.

3. How long is the project expected to take? The contract specifies a 2‑3 year execution period for engineering, procurement, construction and commissioning.

4. Is this AESL’s first project outside Coal India? Yes. The press release states this is the company’s first major order outside Coal India and its subsidiaries/associates.

5. What stake does Oilmax Energy Private Limited hold in AESL? Oilmax Energy Private Limited holds a 56.01 % shareholding in Asian Energy Services Limited.

6. Will the contract affect AESL’s share capital? The filing does not mention any share issuance or capital raise; the contract is a non‑dilutive revenue opportunity.