New Delhi, June 20 (IANS) Rail Vikas Nigam Limited (RVNL) on Saturday announced that it has secured a major infrastructure contract worth Rs 2,977 crore from state-owned mining company NMDC for the development of a buffer stockyard and blending facility at Visakhapatnam in Andhra Pradesh.

According to an exchange filing, the project involves the establishment of buffer stockpiles and a blending yard with a material handling capacity of 10 million tonnes per annum (MTPA). The facility is expected to strengthen NMDC’s logistics and material management capabilities at the Visakhapatnam port.

“It is hereby informed that Rail Vikas Nigam Limited has received Letter of Award of Contract from NMDC Limited for Setting up of Buffer Stockpiles & Blending Yard of 10 MTPA handling capacity at Vizag, Andhra Pradesh,” it said.

RVNL stated that the contract has been awarded in the normal course of business by a domestic entity and does not fall under related-party transactions. The company further clarified that neither its promoters nor any group companies have any financial or other interest in NMDC.

The project is scheduled to be completed within 42 months from the date of the award. Once operational, the facility is expected to improve the handling, storage and movement of iron ore and other raw materials, enhancing supply chain efficiency.

Buffer stockyards and blending facilities play a crucial role in mining operations by helping companies manage inventories and maintain consistent quality of raw materials supplied to customers. The proposed infrastructure at Visakhapatnam is expected to support NMDC’s growing logistics requirements and facilitate more efficient material handling operations.

Rail Vikas Nigam Limited (RVNL) is an Indian Navratna Central Public Sector Undertaking under the Ministry of Railways.

–IANS

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