Financial Daily from THE HINDU group of publications
Friday, Jul 22, 2005

Port Info

Group Sites

Industry & Economy - Petroleum

Financial closure of ONGC Tripura Power likely this fiscal

Pratim Ranjan Bose

Kolkata , July 21

ONGC is hopeful of financial closure of ONGC Tripura Power Ltd (OTPL) in this fiscal. The detailed feasibility report for the project is expected to be ready by October this year.

The State Government has already forwarded the company's plea for environmental clearance to the Union Ministry of Environment and Forests.

While the studies so far has pegged the project capacity at 740 MW, the company is preparing a roadmap for future expansion of the capacities beyond 1,000 MW, depending upon the availability of natural gas.

ONGC has already announced a Rs 400-crore investment plan for stepping up natural gas production in the State from 1.7 million standard cubic metres per day (mmscmd) to 4.5 mmscmd by 2007 by bringing the proven reserves in production.

Almost 90 per cent of the production in the State will be used for captive consumption by OTPL.

Despite identifying several proven reserves in the State, ONGC has so far struggled to keep the production at bare minimum due to lack of demand from the industrial sector.

Sources said ONGC has already sounded financial institutions for raising 70 per cent debt component in the project.

The IPO route for raising finances was ruled out.

Describing the movement of equipment to the project site in North East as the biggest challenge of commissioning the power plant, the sources said to solve the problem the company has held detailed negotiation with the logistics providers.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Wet spell on in North-East and peninsula

Against the tide
Wet track
Cement cos keen on tie-up with SAIL — EOIs for plants at Bhilai, Bokaro
AP Govt to monitor tribal health
Aiyar, Chidambaram discuss composition of oil firm boards
Marginal dip in crude oil production
Financial closure of ONGC Tripura Power likely this fiscal
IOC plans to alter refining process, product profile
More global buys by pharma cos likely
No let-up in movement of ore to steel plants
Textile items to come under VAT from April 1
HSBC launches credit facility for SMEs
Kerala Govt to move Supreme Court against HC order on Coca-Cola plant licence
Govt fixes floor price for e-auction of coal
Rajeev Chandrasekhar may tune into FM radio
Jewellery exports: Value-addition policy norms restored
2 NTC properties sold for Rs 862 cr
CII plans seminar on green buildings
Bengal, Jharkhand consider policy framework for sharing minerals
UCIL hopeful of nod for Nalgonda project
BMW dashes Kerala's hopes, prefers TN
AP finance panel to study fund devolution for local bodies
Industry-R&D linkage programme
IT returns to be accepted on Aug 1
Grapes export may recover after sharp fall last year

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2005, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line