LM2500 Gas Turbine Deal: The Defence Research and Development Organisation (DRDO) has taken another step toward making more defence work in India. Its Naval Science & Technological Laboratory (NSTL) in Visakhapatnam signed a technology transfer agreement with Hyderabad-based Vertex Engineering Systems Pvt. Ltd. on August 21, 2026.
The agreement covers technology needed for the fabrication, installation and commissioning of the LM2500 gas turbine. This will allow the Indian company to build and handle important parts of the system in India. The move is part of the wider push to increase local defence manufacturing under the Aatmanirbhar Bharat programme.
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What is the LM2500 Gas Turbine?
The LM2500 is a powerful gas turbine used for marine propulsion. It belongs to a widely used family of aeroderivative gas turbines made for demanding applications. GE’s current data lists the LM2500 naval family across dozens of navies and more than 1,300 engines. The standard LM2500 has an ISO power rating of about 25 MW.
India already uses LM2500 turbines on major naval platforms. INS Vikrant, India’s first indigenous aircraft carrier, is powered by four gas turbines that together produce about 88 MW.
Because these turbines are linked to the propulsion of large warships, having local engineering and support capability can be very useful for the Navy.
What will Vertex Engineering Do?
Under the new agreement, Vertex Engineering Systems will get technology for work such as making, installing and commissioning the LM2500 system. This means Indian engineers and technicians can take part in more stages of the work inside the country instead of depending completely on outside support.
Vertex is based in Balanagar, Hyderabad. The company works on precision engineering and complex systems for defence, marine, nuclear and aerospace applications. It also has manufacturing, assembly and testing facilities for specialised engineering work.
The company will therefore become part of the domestic support chain for LM2500-related work. This can help build local skills and improve India’s ability to handle complex marine engineering projects.
The agreement also adds to NSTL’s recent technology-transfer work. DRDO’s official technology-transfer records already list NSTL technologies related to LM2500 gas-turbine infrared suppression systems for naval vessels. In April 2026, Bharat Heavy Electricals Limited also signed an agreement with NSTL for that technology.

