Shares of Kirloskar Oil Engines Ltd surged 6% on 3 April after the company announced securing an order from the Ministry of Defence worth Rs 270 crore.
In its regulatory filing, the company said it had secured an order from the Defence Ministry to design and develop a medium-speed marine diesel engine with 6 megawatts (MW) capacity under the Make-I scheme.
The prototype diesel engine will be developed with over 50% indigenous content at a cost of Rs 270 crore, with 70% of the funding provided by the Government of India.
The company will design and manufacture medium-speed engines in-house, ranging from 3 MW to 10 MW, for use in main propulsion and power generation on Indian Navy and Indian Coast Guard vessels.
Currently, most of these engines are imported, making this project a crucial milestone in India’s efforts toward indigenisation and self-reliance in marine engine development. It aligns with the Government of India’s vision to localise critical technologies and achieve Aatmanirbharta in the defence sector.
Reacting to the development, Gauri Kirloskar, the company’s Managing Director, said, “We are honoured to be selected by the Indian Navy for this prestigious project and to have the opportunity to contribute to the building of our nation. This is a proud moment for all of us at KOEL, and I am sure that with the technical and R&D strength that we have, we will be able to deliver yet another world-class product to the Indian Navy.”
At 11:36 am, the shares of Kirloskar Oil Engines were trading 3.16% higher at Rs 752.30 on NSE.
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