GMR, CLP to bid jointly for 4000 MW Sasan Ultra Mega Power in MP

Mumbai, May 18 (UNI) GMR Energy has signed a memorandum of understanding (MoU) with Hong Kong's China Light and Power Co (CLP) to jointly bid for a 4,000-megawatt Pit head Domestic Coal fired Sasan Ultra Mega power project announced by the Central Government.

Talking to reporters here today, Power Business of GMR Group's Director and Head B Vanchi said ''CLP and GMR will submit a joint bid for the Sasan Ultra Mega Power project in Madhya Pradesh and co-develop the project in the event of award.'' Both CLP and GMR will have an equal ownership in the project, which will have an equity component of Rs 5,400 crore in the Rs 18,000 crore project, while the remainder is to come in the form of debt, Mr Vanchi said.

CLP's Managing Director Rajiv Ranjan Mishra said his company is already involved with two projects with GMR group - Vemagiri power plant and Hydropower project at Badrinath shrine in Uttaranchal- and also intends to pursue capacity addition of 1700 MW in next five years in coal-based and hydro power projects.

Mr Mishra added the group is keen to consider investment options in nuclear power generation. However, this would be done only after the necessary guidelines are in place. ''Right now we are only keeping track on the Indo-US nuclear power pact and the follow-up on it.'' At the same time, he said ''We are looking for other viable opportunities.'' On the gas availability, Mr Mishra said this is only an interim issue and by 2008 there will be enough gas on continuous basis after the commercial operations begins at KG basin in Andhra Pradesh.

UNI SN MJ NV1534