Gensol Engineering shares zoom 3.5% after receiving India’s first bio-hydrogen project worth ₹164 crore

Shares of Gensol Engineering, the flagship company within the Gensol group, rose 3.5% in today's intraday to ₹972 apiece after the company emerged as the lowest bidder for developing India's first bio-hydrogen project for a leading power generation company. Gensol Engineering will undertake the project in collaboration with Matrix Gas & Renewables.

Valued at ₹164 crore and scheduled for completion within 18 months, the project is a significant milestone in aligning with the National Green Hydrogen Mission for biomass-to-green hydrogen generation.

The company has strategically partnered with Westinghouse, USA, which has patented technology and has commissioned multiple plants globally. The scope of work includes developing the establishment of a 25-ton per day (TPD) bio-waste processing and producing 1 TPD of green hydrogen infrastructure from pre-gasification plasma-induced radiation energy-based gasification system (GH2-PREGS) technology, the company said in its exchange filing.

Gensol and Matrix are both promoted by common promoters and will continue to collaborate in green hydrogen and its derivatives, including green steel and green ammonia, taking benefit of each entity's skill set. 

Recent developments 

In August, the consortium of Gensol Engineering and Matrix Gas was awarded a 237 MW annual capacity under the Production Linked Incentive (PLI) scheme for establishing an electrolyser manufacturing plant. They won the bid through a competitive tender conducted by the Solar Energy Corporation of India (SECI).

Additionally, in the same month, Gensol secured a significant order for a 16 MWp turnkey EPC rooftop solar project valued at ₹40 crore in the commercial and industrial (C&I) sector. This order, received from a prominent textile company, is a repeat contract for Gensol. 

In June, the company emerged as a successful bidder for the 250 MW/500 MWh standalone Battery Energy Storage Systems (BESS) project worth ₹1,340 crore from Gujarat Urja Vikas Nigam Limited (GUVNL).

Gensol Engineering is one of India's premier solar engineering, procurement, and construction businesses. Gensol, which specialises in solar park and rooftop installations, has completed projects totalling more than 770 MW. The firm is also India's largest solar O&M provider.

According to a recent report from domestic brokerage Arihant Capital, Gensol Engineering appears to be in a stronger position among its listed peers. The brokerage pointed out that the stock is trading at a discount to its listed peers due to its unique business strategy and the bright future of India's solar sector.

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