BackRPower is evaluating selling its three coal mines in Indonesia
The firm acquired the 3 mines in Indonesia in 2008 with total reserves of 2 billion tonnes to use the coal for its ultra-mega power projects in India
Premium
Muimbai: Reliance Power Ltd is evaluating selling its coal mine concessions in Indonesia and focus on its business in India, group chairman Anil Ambani said at the company’s annual meeting on Wednesday.
The company acquired three mines in Indonesia in 2008 with total reserves of 2 billion tonnes to use the coal for its ultra-mega power projects (UMPP) in India, mainly the Krishnapatnam project in Andhra Pradesh.
The three mines, Sriwijaya Bintangtiga Energy, Bryayan Bintangtiga Energy and Sugico Pendragon Energy in the South Sumatra area of Indonesia, were bought through Reliance Power’s unit Reliance Coal Resources Pvt. Ltd.
Reliance Power will be participating in various bids for setting up solar power projects to expand in India’s lucrative renewable energy market, Ambani said.
The company in February signed a memorandum of understanding (MoU) with Rajasthan for setting up 6,000 megawatts (MW) of solar capacity and solar parks. The central government is aiming to shift India’s energy mix towards renewables. It aims to install 100 gigawatt (GW) of solar power and 60 GW of wind power by 2022, which may entail an investment of as much as $200 billion.
Earlier this year, the company signed an accord with the government of Bangladesh for setting up a 3,000 megawatt (MW) gas-based power project and proposed to relocate equipment to Bangladesh from its 2,250 MW Samalkot project in Andhra Pradesh.
Reliance Power has completed phase I of its ₹ 50,000 crore capital expenditure and the company’s board will consider paying dividend for the first time this year, Ambani said.
Reliance Power operates 5,945 MW of power capacity across its projects based on coal, gas, hydro and renewable energy. Ambani said all of the company’s power plants, including the 3,960 MW Sasan and 1,200 MW Rosa plants are operating at plant load factors (PLFs) of nearly 90-100%. The company has more than 6,000 MW of hydropower project in the pipeline.
Reliance Power’s shares rose 1.18% to ₹ 43 on BSE on Wednesday, while the exchange’s benchmark Sensex gained 1.46% to 26,154.83 points.
Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
