Singareni Collieries, NTPC to ink pact on JVs

Hyderabad, Aug 22: The Singareni Collieries Company Limited (SCCL) and NTPC Limited will be signing an MoU here tommorow to collaborate and promote one or more joint ventures (JVs) for coal mining and coal-based power plants.

The MoU would be signed between SCCL CMD R H Khwaja and NTPC CMD T Sankaralingam in the presence of Chief Minister Y S Rajasekhara Reddy, an official release said here today.

The MoU will help synergise business operations between the two PSUs for achieving greater economies in power generation and coal mining by leveraging their professional strengths.

To implement the MoU within a specific time frame, NTPC and SCCL would form a Joint Business Development Group and Steering Committee to identify and establish viable projects. An Apex Committee would be formed with the Chief Executives of NTPC and SCCL.

Both NTPC and SCCL will have equal equity holding in the JVs with a debt to equity ratio of 70:30. The JVs will arrange necessary funds for the projects without any recourse to NTPC and SCCL.

UNI