Hindustan Construction Co has a new order from Ircon International for construction of a section of the Pir Panjal Tunnel on the Laole-Qazigund Section of Udhampur-Srinagar-Baramulla New BG Railway line project. The section of the tunnel project awarded to HCC (Zone VB) is valued at Rs.173 crore. The company, earlier in August 2005,  also received the Zone VA package of the Pir Panjal tunnel valued at Rs.218.35 crore.

The Pir Panjal Tunnel forms part of an ambitious 120 km long rail project across the Pir Panjal range. The railway line will connect the Kashmir valley with the rest of the country.

Having bagged both Zone VA and VB of the Pir Panjal Tunnel effectively means that HCC will be constructing the entire 10.96 km length of the Pir Panjal Tunnel. In addition to the tunnel, HCC had also earlier bagged the order for construction of part of the railway line.