Suryachakra Power in pact with Chinese co for plant in Orissa

Hyderabad: Suryachakra Power Corporation Ltd is partnering China Guodian Corporation to establish a 1,200 MW coal-based independent merchant power plant in Orissa.

Initially, the company had planned a 4x300 MW power plant but now is looking at 600 MW unit initially to be followed up with another unit of 600 MW.

The founder and Chairman of Suryachakra Power, Dr S.M. Manepalli, told Business Line that the details of the project, including its cost, location and terms would be announced shortly along with the Chinese company.

The Chinese equipment supplier is keen to be part of the power sector development in India and is likely to invest about 50 per cent in the equity of the special purpose vehicle.

The Chinese company manages power plants and has interests in coal mining and power generation with a combined asset base of $20 billion. Suryachakra and CGC have entered into an agreement in last month.

Suryachakra had earlier entered the capital market with a maiden IPO to part-fund its expansion-cum-diversification plans.

The company also announced it has entered into sales and purchase agreement for coal commodity trading with PT Central Kororindo Internasional, bk, a publicly listed company in Indonesia.

The company has also secured no-objection certificate for establishment of a coal washery rejects-based power generation project of 2x35 MW unit in Champa district, Chhattisgargh.