New Delhi: Punj Lloyd Ltd, the country’s second-biggest engineering firm said on 1 June it is in talks with global equipment suppliers for a tie-up to construct nuclear, hydro and thermal power plants on turnkey basis.
The company has also decided to foray into onshore drilling rigs business for oil and gas companies in India and abroad as part of its diversification drive and is investing Rs40 crore in the first phase this fiscal, Punj Lloyd chairman Atul Punj said.
“Power sector is a big focus area. We are in talks with global equipment suppliers for a possible alliance so that we can set up power plants on turnkey basis,” Punj said.
“There are just a handful of 12-15 players...GE, Alstom, Siemens... we are talking to all of them,” he said, adding the company is expecting to forge an alliance within 5-6 months.
Punj said the company already had substantial experience in construction-related activities of energy sectors such as oil and gas but lacked expertise in building nuclear, hydro, coal or gas-fired power plants.
Punj Lloyd’s proposed tie-up with a power equipment supplier follows that of its bigger rival L&T’s decision to forge alliances with Japanese manufacturers Mitsubishi and Toshiba for boilers and turbines.
While state-run Bharat Heavy Electricals Ltd is the market leader, power generating utility NTPC Ltd has also been working toward building capabilities to manufacture equipment to meet the rapidly rising demand in the world’s second- fastest growing economy. More PTI upd PKS