Dilip Buildcon Limited (DBL) has secured a major win with a long-term mining project awarded by National Aluminium Company Limited (NALCO), a Government of India enterprise. The project, titled “MDO Contract for Development and Operation of Pottangi Bauxite Mines along with Overland Conveyor Corridor (OLCC) and allied facilities,” marks a significant milestone for DBL in the mining and infrastructure space.
Project Overview
The contract is structured as an MDO (Mine Development and Operation) agreement that covers everything from developing the Pottangi Bauxite Mines to operating them for the next 25 years. It also includes building and maintaining the Overland Conveyor Corridor (OLCC) and other supporting infrastructure.
Key Highlights
Awarded By: National Aluminium Company Limited (NALCO)
Contract Type: Mine Development & Operation (MDO)
Project Value: ₹5,000 crore (excluding GST)
Execution Period: 25 years
Total Quantity to Be Handled: 84 million tonnes
Award Type: Domestic order
Breakdown of the 25-Year Project
The contract is divided into two major components—initial EPC work and long-term mining operations.
| Component | Duration | Quantity (Million Tonnes) | Value (₹ Cr., ex-GST) | Description |
|---|---|---|---|---|
| EPC Phase | 3 years | 7 | 1,750 | Includes OLCC construction, road works, water intake facility, mining & transportation |
| Mining Operations | 22 years | 77 | 3,250 | Based on current mining charge of ₹423 per tonne |
| Total | 25 years | 84 | 5,000 | Complete contract value over full duration |
Regulatory Compliance and Disclosures
DBL received the Letter of Award (LOA) on December 10, 2025. In line with SEBI regulations, the company confirmed:
No Promoter Interest: DBL’s promoters or promoter group have no interest in NALCO.
Not a Related Party Transaction: The agreement does not fall under related party transactions.
DBL also announced that its trading window will remain closed for all insiders and designated personnel until 48 hours after the public disclosure of this contract.
