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Standing as one of India's leading constructor in the nuclear power sector, emerges as a key player poised to contribute significantly to the nation's clean energy future.

On December 17, 2023, India marked a significant milestone in its pursuit of clean and indigenous energy as the Nuclear Power Corporation of India Limited (NPCIL) achieved criticality for the 700-MWe pressurized heavy water reactor (PHWR) – the fourth unit at Kakrapar, Gujarat. This follows the successful commercial electricity production from another 700-MWe unit in the same facility six months prior. Looking ahead, NPCIL, under the leadership of Chairman and Managing Director B.C. Pathak, envisions an ambitious plan to commission a nuclear power reactor annually.

The global push to replace carbon-emitting fuels has intensified, with a focus on the production of green hydrogen as a key element in the decarbonization strategy. Green hydrogen, derived from clean energy sources, is gaining prominence. Nuclear power emerges as a crucial player in this scenario, offering not only electricity generation but also serving as a promising source for clean energy. The dual role of nuclear power in this context positions it as a pivotal contributor to a sustainable and low-carbon future.

Taking advantage of these developments, the financial markets have responded with particular interest, exemplified by the surge in the stock of Hindustan Construction Company Ltd (HCC) on the stock market. On a recent Monday, the HCC stock soared by 11 per cent, establishing a fresh 52-week high. Noteworthy is the robust volume accompanying this upward movement, marking the highest single-day volume recorded since January 12, 2024.

HCC's significance in the nuclear power sector becomes evident on exploring the company's role in shaping India's nuclear landscape. According to information provided by HCC on its website, the company has played a pivotal role in constructing 60 per cent of India's installed nuclear power capacity. In fact, HCC proudly claims to have built plants responsible for over 60 per cent of the nation's Nuclear Power Capacity, contributing a substantial 5,780 MW out of India's total 9,580 MW of nuclear power generation capacity.

HCC's prowess extends to being among the select few companies in India with the capability to construct the core of a nuclear power plant, one of the most intricate and challenging engineering feats. The company boasts a comprehensive construction capability for nuclear power plants, encompassing crucial components such as reactor and reactor auxiliary buildings, turbine generator buildings, balance of plant, sea-water intake systems, pumphouses, cooling towers, plant water systems, RCC stacks/chimneys, and various administrative and control room buildings.

Notably, HCC brings extensive experience to the table, particularly in the construction of pressurized heavy water reactor (PHWR) plants. The company has also achieved the distinction of building India's largest and first light-water reactors at Kudankulam, Tamil Nadu.

As the world seeks cleaner and more sustainable energy solutions, the fusion of nuclear power and green hydrogen holds immense promise. HCC, standing as one of India's leading constructor in the nuclear power sector, emerges as a key player poised to contribute significantly to the nation's clean energy future. The stock has delivered multibagger returns of 122 per cent in the last one-year.

Disclaimer: The article is for informational purposes only and not investment advice