Stock Report

Sealmatic India Ltd to benefit from new nuclear power projects

Posted On : 2024-09-10 12:24:52( TIMEZONE : IST )

India is building 14 more 700 MW nuclear power reactors of the same design (KAPS - 4) which are expected to commence operations progressively by 2031-32.

The NPCIL presently operates a fleet of 24 reactors with a total capacity of 8180 MW and has eight units with a capacity of 6800 MW under construction.

In addition, 10 more reactors with a total capacity of 7000 MW are in pre-project activities. These are expected to be completed progressively, taking the installed nuclear power capacity in the country to 22480 MW by 2031-32, the NPCIL said.

"These are extremely interesting times for Sealmatic India Limited [referred as Sealmatic] as stated by Hitesh Vyavahare, who overlooks the Nuclear Sector and is in constant dialogue with NPC, the rotary equipment manufacturers, EPCs, LSTKs in India and globally. Noteworthy to express is that Sealmatic India Ltd is the only mechanical seal company in India which has the accreditation of ISO 19443 (Nuclear)".

This construction of additional capacity of 9800 MW will create engaging opportunities for Sealmatic, on a very conservative estimate every 700 MW of Nuclear capacity will entail a new requirement of 100 mechanical seals of highly critical design and thus by 2030 new requirements of 1400 critical mechanical seals will be created. Hence, throwing open a profitable business till the lifetime of the equipment (which is 30 years). Sealmatic aims to take 15% market share (1400 Nuclear mechanical seals) from these new opportunities and is fully geared to meet this demand both technically and commercially.

Sealmatic designs and manufactures high precision & heavy-duty mechanical seals that are widely employed in various power plant applications both nuclear & thermal.

With this announcement of new investment of 14 more 700 MW nuclear power reactors as stated above, Sealmatic will take its well-deserved share of supplying mechanical seals in the nuclear applications and other related offsite and utility facilities in a nuclear power plant.

Shares of Sealmatic India Limited was last trading in BSE at Rs. 608.65 as compared to the previous close of Rs. 619.30. The total number of shares traded during the day was 11550 in over 61 trades.

The stock hit an intraday high of Rs. 631.70 and intraday low of 605.40. The net turnover during the day was Rs. 7091310.00.