Ircon International Limited, a leading public sector undertaking in infrastructure and engineering under the Ministry of Railways, has received a variation order worth ₹59.44 crore from the Dy. CSTE (Con) Silchar, North East Frontier Railway (NFR), Indian Railways. This contract is part of the ongoing Jiribam-Imphal New Railway Line Project, specifically covering the Khongsang to Awangkhul section.

This variation is an extension of the original Contract Agreement No. NFR/NFRC/S&T/2023/0015 dated 20th February 2024, and enhances the scope of work previously awarded to Ircon.

Scope and Nature of the Work

Under this variation order, Ircon will undertake the supply, installation, testing, and commissioning of Integrated Tunnel Communication Systems. It will also install an OFC (Optical Fiber Cable) based industrial-grade network system, including laying of OFC and other communication cables, to ensure robust railway communication infrastructure.

This variation is vital to improving the safety and operational efficiency of the Jiribam-Imphal rail corridor, which passes through challenging terrains and tunnels in Northeast India.

The contract clearly highlights Ircon's technical capability and experience in executing critical and complex infrastructure works, especially in difficult geographical regions like Manipur.

Key Highlights of the Contract

• Contract Value: ₹59,44,13,902.41

• Contract Type: Works Contract – Variation Order

• Executing Authority: Dy. CSTE (Con) Silchar, North East Frontier Railway, Indian Railways

• Nature of Work: Supply, laying, and commissioning of OFC-based tunnel communication systems

• Timeframe for Completion: By June 30, 2025

• Location: Khongsang – Awangkhul section, under Jiribam-Imphal New Railway Line Project

Not a Related Party Transaction

Ircon has clarified that there is no promoter or group company interest in the awarding entity, i.e., Indian Railways. Thus, this order does not fall under the category of a related party transaction, ensuring a transparent and independent commercial arrangement.

The award was made by a domestic public entity, reinforcing Ircon’s strong working relationship and consistent trust shown by Indian Railways in its capabilities.

Strategic Importance of the Jiribam-Imphal Project

The Jiribam-Imphal railway line is a part of a broader national effort to improve rail connectivity in the Northeastern region, often seen as a logistical and infrastructural bottleneck due to its hilly terrain and socio-political sensitivities.

This section in particular—Khongsang to Awangkhul—includes long tunnels and challenging topography, making communication infrastructure critical. The Integrated Tunnel Communication System being implemented by Ircon will enhance train control, monitoring, and safety in these tough segments.

Ircon’s Role in National Infrastructure Development

Ircon International Limited, with over four decades of experience, is a recognized leader in railway, highway, tunnel, and bridge construction. It has executed major projects across India, Bangladesh, Nepal, Algeria, and other international markets.

Securing this variation order:

• Reaffirms Ircon’s reliability in executing railway communication and safety systems.

• Boosts Ircon’s project portfolio in Northeast India—one of the government’s top priority zones under its “Act East” policy.

• Strengthens Ircon’s position as a key executor of Indian Railway's infrastructure expansion plans.

Execution Timeline and Financial Impact

The order must be executed by 30th June 2025, giving Ircon a little over a year to complete the variation works.

This ₹59.44 crore variation order adds substantial value to Ircon’s existing contract, improving revenue visibility and boosting order book value for FY 2025. The timely completion of this order will also allow Ircon to maintain its strong execution track record, which is critical for public sector infrastructure companies.

Conclusion

The ₹59.44 crore variation order from North East Frontier Railway for the Jiribam-Imphal Tunnel Communication System is a significant win for Ircon International Limited. It not only underlines Ircon’s engineering prowess and trust factor with Indian Railways but also aligns with the government’s strategic vision of enhancing infrastructure in the Northeast.

This award further solidifies Ircon’s leadership in railway infrastructure and opens the door for more such high-value, high-impact contracts in the future.

As Ircon continues to expand its footprint in communication, electrification, tunneling, and structural engineering, the company remains a key player in India’s rail modernization and infrastructure push.

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