HCC rallies 5% on completion of first tunnel for Kishanganga project

NEW DELHI: Hindustan Construction Company Ltd rallied as much as 4.9 per cent in trade on Thursday, after the construction major said that it has made history by successfully completing the first tunnel constructed using Tunnel Boring Machine (TBM) in Himalayan Terrain for its Kishanganga Hydroelectric Power Project in Jammu and Kashmir.

The tunnel boring machine emerged out successfully on Monday, June 10 2014, completing the 14.75 km tunnel. With this, HCC has completed tunneling work of the project well ahead of schedule.

At 09:50 a.m.; HCC pared some of the gains but was still trading 3.6 per cent higher at Rs 44. It hit a low of Rs 42.50 and a high of Rs 44.55 in trade today.

Government, of India has cleared the Project from the Indus Waters Treaty. The contract is on a turnkey basis valued at approximately Rs 2726.49 crore.

The 330 MW Kishanganga Hydroelectric Power Project is located on River Kishanganga, a tributary of river Jhelum, in Bandipore district of Jammu & Kashmir.

Speaking on the occasion, A.I. Benny, Project Manager HCC said, "Using tunnel boring machine in young Himalayan Mountains poses various geological and technical challenges. We are indeed proud of having a capable team that took up this challenge and with meticulous planning and precise execution overcome all hurdles to complete the tunnel well ahead of time."

Kishanganga Hydroelectric Power project is being constructed by HCC on EPC basis. The project has a 23.65 km long Head Race Tunnel to carry the water from dam to the powerhouse.