Infra stock skyrockets 14% after securing ₹3,300 Cr consortium contract for mining project

Synopsis:: The shares of this small-cap construction company skyrocketed 14% following the contract it secured from South Eastern Coalfields Limited (SECL) worth Rs 3,300 crore for mining activities by signing an MOU with M/s Jai Ambey Roadlines Private Limited (JARPL) and M/s Avinash Transport (AT).

The shares of this company, which specialises in executing EPC contracts and providing integrated solutions encompassing design, engineering, procurement, construction and project management services in water, process and metallurgy, and infrastructure segments, had its shares in the spotlight today after the company signed an MOU contract for a mining project worth Rs 3,300 crore. 

With a market cap of Rs 1,970 crore, the shares of SEPC Ltd jumped about 14% and reached their high at Rs 10.37 compared to their previous day closing price at Rs 9.10 and are trading at a PE of 37, whereas their industry PE is 18.6

About the MOU contract

SEPC Limited has taken a meaningful step into large-scale mining projects by signing a Memorandum of Understanding on December 14, 2025, with Jai Ambey Roadlines Private Limited and Avinash Transport, which together form the JARPL-AT Consortium. This consortium has been awarded the Rampur Batura Opencast Coal Mine project by South Eastern Coalfields Limited (SECL), a domestic PSU. With a total project value of around Rs 3,300 crore (inclusive of GST), the contract marks a significant milestone for SEPC and reflects its entry into a long-duration mining opportunity.

As part of the arrangement, SEPC will act as a strategic partner to the consortium, where Jai Ambey Roadlines holds an 80% share and Avinash Transport holds 20%. The scope of work includes excavation, loading, transportation, unloading of soil and coal, and surface mining activities, placing SEPC directly into core mining operations rather than in a limited or short-term role. This expands the company’s operating profile beyond its traditional activities and aligns it with steady, execution-led projects.

The project is expected to be executed over 3,652 days, or nearly 10 years, offering long-term visibility on operations and revenue potential. SEPC has also clarified that the contract does not involve any promoter interest and is not a related-party transaction, indicating it has been secured on an arm’s-length basis. Overall, this contract strengthens SEPC’s project pipeline, enhances its presence in the domestic mining sector, and represents a material development for the company’s long-term growth trajectory.

Financials and more

The revenue from operations is at Rs 237.42 crore in Q2 FY26 versus Rs 171 crore in Q2 FY25, which is a growth of about 39 per cent. Similarly, the net profit has also increased from Rs 2.3 crore in Q2 FY25 to Rs 8.30 crore in Q2 FY26, which is a growth of about 260 percent. 

SEPC Limited works with a diverse and well-established set of customers, spanning government bodies, public sector undertakings, and large industrial groups, which reflects its ability to handle complex EPC and turnkey projects. Its client list includes major urban and water authorities such as the Ahmedabad Urban Development Corporation, Delhi Jal Board, Gujarat and Tamil Nadu Water Supply and Drainage Boards, and the Bengaluru Water Supply and Sewerage Board, highlighting a strong presence in municipal and water infrastructure. 

Alongside this, SEPC serves leading industrial and PSU clients like NMDC, Steel Authority of India, Tata Steel, Jindal Steel & Power, Vedanta Group, Grasim Industries (White Cement Division), Kochi Refineries, MECON, and Rashtriya Ispat Nigam Limited, as well as international customers including the Basra Governorate of Iraq, KonKola Copper Mines in Zambia, and MISCO of Oman. This broad customer base underscores SEPC’s credibility and execution capabilities across sectors and geographies.

SEPC Limited is an engineering solutions company that focuses on delivering end-to-end EPC and turnkey services, handling everything from design and engineering to procurement, construction, and project management. Incorporated in 2000 and headquartered in Chennai, the company works across key sectors such as process and metallurgy, power, water infrastructure, and mining and mineral processing. With its multidisciplinary engineering capabilities, SEPC aims to solve complex engineering challenges by offering integrated solutions tailored to large industrial and infrastructure projects.

Written by Leon Mendonca. 

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