Garden Reach Shipbuilders & Engineers Ltd (GRSE), a key player in India’s shipbuilding industry, announced on Friday, October 18, that it has secured a major contract from the Defence Research and Development Organisation (DRDO) for designing and constructing an Acoustic Research Ship (ARS). The contract, valued at around ₹491 crore, was awarded by the Naval Physical & Oceanographic Laboratory (NPOL). According to GRSE’s filing with the stock exchange, the company received a Letter of Intent from NPOL to handle the ship’s design, development, equipment integration, testing, certification, and commissioning. This project will significantly boost the Indian Navy’s research infrastructure and is expected to be completed within 36 months of signing the contract.
The ARS will play a critical role in advancing the Indian Navy’s research into underwater acoustics, sonar performance, and other oceanographic studies essential for national defense. The addition of this ship will enhance India’s naval research capabilities, which are vital for strategic maritime operations.
This October has been particularly busy for GRSE, with multiple contracts secured across different sectors. Earlier in the month, GRSE received two letters of acceptance from the West Bengal government for designing, building, operating, and maintaining hybrid electric ferries under the West Bengal Inland Water Transport, Logistics and Shipping Development (WBIWTLSD) project. This involves constructing 100 non-air-conditioned hybrid electric ferries for cross-river operations and 200 twin-deck hybrid electric ferries with air conditioning on the main deck. The project is set to modernize West Bengal’s water transport infrastructure and support the use of eco-friendly technologies.
In addition to the ARS contract and the ferry projects, GRSE also signed an agreement to construct and deliver one of four additional multi-purpose vessels (MPVs) with a capacity of 7,500 deadweight tonnage (DWT). This was followed by another contract with Germany’s Carsten Rehder Schiffsmakler and Reederei GmbH & Co KG for building the fifth multi-purpose vessel of similar tonnage. These deals are part of a larger option agreement between the two companies, further strengthening GRSE’s international footprint in shipbuilding.
On the stock front, GRSE shares closed at ₹1,756.00 on Friday, reflecting a 0.70% rise, or ₹12.20, on the Bombay Stock Exchange (BSE). The stock has shown steady performance in recent weeks, which analysts attribute to the company’s strong order book and success in securing high-value contracts. The ARS project, in particular, holds great significance as India focuses on improving its naval capabilities and research infrastructure. With advancements in underwater acoustics and sonar technology being crucial to modern naval operations, the new vessel will enable the Indian Navy to conduct extensive research and testing in these critical areas. This will contribute to India’s broader defense strategy, particularly in the realm of oceanographic research.
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