Pune, India – September 14, 2024 – Thermax Ltd. (NSE: THERMAX) announced today that its wholly owned subsidiary, Thermax Babcock & Wilcox Energy Solutions Limited (TBWES), has secured a significant repeat order worth Rs. 516 crore. The order involves supplying two 550 TPH Circulating Fluidised Bed Combustion (CFBC) boilers for a 300 MW energy project in Botswana, Southern Africa. This project is part of a larger 600 MW initiative by an industrial conglomerate, solidifying Thermax's position as the sole partner for the entire undertaking.
a. Announcement Details:
The Rs. 516 crore order entails the design, engineering, manufacturing, testing, supply, supervision of erection & commissioning, and performance testing of two 550 TPH CFBC boilers. This follows a previous order from the same client for a similar project, highlighting the trust and confidence placed in Thermax's capabilities.
b. Strategic Significance:
This repeat order underscores Thermax's growing presence in the African energy market and showcases its expertise in providing comprehensive solutions for large-scale power generation projects. It strengthens the company's position as a leading player in the energy and environment space and demonstrates its ability to secure repeat business based on successful project execution and client satisfaction. The order is expected to contribute positively to Thermax's future growth and revenue streams.
c. Executive Commentary:
Ashish Bhandari, MD and CEO of Thermax, expressed his satisfaction with the order, stating, “Winning the second order for the same project is a testament to the trust the customer has placed in our capabilities. With this project in Botswana, we look forward to contributing to the broader energy landscape in Southern Africa, enhancing its power infrastructure, and setting new benchmarks with best-in-class solutions for efficiency and environmental performance.”
d. Industry Context:
The project aligns with the growing demand for reliable and sustainable power generation solutions in Southern Africa. Many countries in the region are facing power shortages and are actively seeking to diversify their energy sources and enhance their power infrastructure. Thermax's expertise in clean energy technologies positions it well to capitalize on these opportunities and contribute to the region's energy security.
e. Implementation or Next Steps:
The press release indicates that the delivery period for the boilers is 25.5 months. Thermax will be responsible for overseeing the entire project lifecycle, from design and engineering to commissioning and performance testing. The company's proven project management capabilities will be crucial in ensuring timely and efficient project execution.
f. Stakeholder Impact:
The project is expected to have a positive impact on various stakeholders. The generated power will contribute to Botswana's national utility grid, helping to meet the region's growing energy needs and support economic development. Local communities will benefit from increased access to electricity, while the project also presents potential employment opportunities during the construction and operation phases. Thermax's commitment to environmental performance ensures that the project will be implemented with a focus on minimizing its environmental footprint.