Athira Sethu
Kochi, 29 Oct 2026
The share prices of VA Tech Wabag, one of the leading players in water technology sector, gained more than 8% in one day on Tuesday, October 27, following the news about a significant contract secured by the company from Reliance Industries.
The stock prices of VA Tech Wabag increased 8.23% to trade at ₹1,848 on the National Stock Exchange (NSE).
This surge was triggered by the company’s statement about the successful conclusion of a major agreement for construction of a seawater desalination plant in Jamnagar, Gujarat.
Awarding of Major Project by Reliance Industries
Reliance Industries has chosen VA Tech Wabag for designing and building a desalination plant in their Jamnagar plant site.
Desalination plants purify seawater from salts and other impurities for various industrial purposes.
VA Tech Wabag will be responsible for the entire design and engineering of the plant, supply of equipment, installation and commissioning of the plant.
Plant to Produce Millions of Litres of Water
The new desalination plant will initially have a processing capacity of 8,400 cubic metres of water per hour.
This capacity can later be increased to 12,600 cubic metres per hour, equal to approximately 302 million litres per day.
The project will also include a separate remineralisation plant with a capacity of 3,000 cubic metres per hour.
Remineralisation means adding important minerals back into treated water to improve its quality.
Advanced Technology to Treat Seawater
The Jamnagar plant will use several modern water treatment technologies.
These include filtration systems that remove dirt, small particles and other unwanted materials from seawater.
The plant will also use reverse osmosis technology, which removes salt from water using special membranes.
Additional systems will help store treated water, manage chemicals and handle the remaining salty water.
These technologies will help the facility produce treated water for industrial operations.
Project to Be Completed in 25 Months
VA Tech Wabag said the project will be completed in different stages over approximately 25 months.
The company has classified the contract as a Mega order.
According to its classification system, domestic contracts worth more than ₹1,000 crore are considered Mega orders.
The company did not provide the exact contract value in the announcement.
Reliance Industries Shares Decline
While VA Tech Wabag shares increased following the announcement, Reliance Industries shares moved lower.
Reliance shares were trading at ₹1,192.90 on the NSE, down 0.74%.
Major Business Opportunity for VA Tech Wabag
The new contract represents an important business opportunity for VA Tech Wabag.
It also highlights the growing importance of water treatment and desalination technology in large industrial projects.
The Jamnagar facility is expected to support Reliance Industries’ water requirements while strengthening VA Tech Wabag’s position in India’s water technology sector.
