Nagpur: The Maharashtra State Mining Corporation (MSMC) has drawn up an ambitious plan to enter into a joint venture for a 540 mw thermal power plant at Nagbhid in adjoining Chandrapur district, its chairman Avinash Warjurkar said.

The MSMC has been alloted a coal block in Garepelma sector II in Raigarh district of Chattisgarh, which has an estimated coal reserve to the tune of 175 mt, sufficient enough to cater to the needs of MSMC power station for another 20 years, Warjurkar, a former Congres MLA, told reporters here on Thursday.

He said the power plant will help ease power crisis in the days to come. MSMC has identified the land and process of acquisition from district Collector, Chandrapur was in progress.

It will require a total of 500 acres, he added.

D G Philips, managing director of MSMC, said tenders have been floated for both mining and power plant, which will open on March 14. MSMC would be retaining 51% stake in the JV and there may be one or more partners in the JV.

Besides many players like Jindal, Ispat, Indo-rama, Emco, Sunflag, Adani, Wardha Power, Tata Power, 24 Century, Kalptaru and 65 others are in the race for setting up power plant at Nagbhid, Philips added.

Coal will be transported approximately from 500 kms coal blocks in Raigarh to Nagbhid while water will be fetched from Gosikhurd irrigation project, Warjurkar said adding after bids are finalised, it will be sent to state government for approval.