Gayatri subsidiary signs coal supply contract
Thermal Powertech Corporation (India), a subsidiary of Gayatri Projects, has signed an agreement with PT Bayan Resources Tbk (Bayan) for the supply of 1 million tonnes of coal per year for over ten years. The arrangement for coal supply is expected to commence in 2014. Gayatri Projects owns 51 per cent stake through its wholly owned subsidiary Gayatri Energy Ventures Pvt. in TPCIL, while Sembcorp owns a 49 per cent stake in TPCIL through its wholly-owned subsidiary, Sembcorp Utilities.
The agreement was signed by Atul Nargund, CEO of Sembcorp Utilities India and TPCIL, TV Sandeep Reddy, managing director of TPCIL and GPL and Eddie Chin, president director & CEO of Bayan, as well as David Low, director of sales & marketing of Bayan.
With plant construction progressing on track at the project site in Krishnapatnam in Andhra Pradesh’s SPSR Nellore District, this coal agreement marks yet another significant milestone for Sembcorp’s first Indian power plant project, a 1,320-megawatt coal-fired power plant. With the signing of this agreement, TPCIL has secured almost half of the plant’s requirement for imported coal.
Nargund said, “We are pleased to have Bayan onboard as our coal supplier. Given its established reputation for timely delivery of high-grade coal, we are confident that our plant will be able to help address the pressing power shortage in India.”
TV Sandeep Reddy, managing director, Gayatri Projects, said, “We are pleased to secure coal linkages for the prestigious power project in Andhra Pradesh. The project will definitely help improve the availability of power in the country and contribute to the infrastructure and national development. We are sure that our association with Sembcorp and Bayan will go a long way for the success of this project.”