Coal India, DVC Partner for ₹16,500 Crore Jharkhand Brownfield Power Plant.

Coal India, the state-owned mining giant, has formalized its foray into thermal power generation through a significant partnership with Damodar Valley Corporation (DVC). On Monday, the two entities signed a Memorandum of Understanding (MoU) to establish a 1,600 MW ultra-supercritical coal-fired power project in Jharkhand, entailing a substantial investment of approximately ₹16,500 crore.

This brownfield venture involves the development of two 800 MW power plants as an expansion to DVC's existing Chandrapura Thermal Power Station, which currently has a capacity of 2 X 250 MW. For Coal India, this collaboration marks a strategic step in diversifying its business portfolio beyond coal mining and establishing a stronger presence in the power sector.

According to a stock exchange filing by Coal India, the 1,600 MW power project will be undertaken through a newly formed joint-venture company, with both Coal India and DVC holding an equal equity share of 50 percent. This partnership leverages the expertise of both organizations – Coal India's strength in coal supply and DVC's experience in power generation – to establish a significant and efficient power generation facility in the region. This project is expected to contribute significantly to the power infrastructure of Jharkhand and the nation.

HBL