GVK Power & Infrastructure Limited expects to commence coal production from its captive GVK Coal (Tokisud) Company to facilitate supply to the 540 MW Goindwal Sahib thermal power plant in Punjab by November 2014.
The diversified Hyderabad-based infrastructure company, which has commissioned the 540 mw plant with an outlay of about Rs 4,000 crore, is expected to begin power generation by December once the coal supplies steady from the Tokisud mine.
The Tokisud mines have 52 million tonnes of mineable reserves and expected to cater to the requirements of 2.32 million tonnes per annum to Goindwal Sahib project. It has also completed the construction of a bridge over Damodar river along with relief and rehabilitation colony with the commercial operations beginning, according to GVK management.
In addition to this, GVK expects to commission Seregraha Mines Limited, which GVK jointly owns with ArcelorMittal, in the ratio of 55:45, with estimated reserves of 66.6 million tonnes. The project is estimated to cost GVK around Rs 450 crore and once operational will be able to contribute one million tonnes per annum to Goindwal, according to GVK annual report.
ALAKNANDA
The 330 mw GVK’s Alaknanda hydel project being set up with an outlay of Rs 4,750 crore is nearing completion. While the company was hoping to begin commercial operations in the middle of 2013, the natural calamity in June 2013 delayed the operations as they had breached the dyke. With the restoration works completed, the company expects to commence generation shortly.
The company’s gas-based projects continue to suffer due to inadequate gas supply. However, the company hopes that alternative gas supply arrangements are likely. The energy arm of GVK has received approval of the lead bankers and majority of the consortium lenders for additional loans and moratorium for payments.
SHIVPURI DEWAS EXPRESSWAY
The company has submitted a revised proposal to NHAI for its consideration. The decision follows NHAI invitation to reconsider their earlier decision to terminate the contract on 2013.
GVK had signed a concession agreement with NHAI for four-laning of Shivpuri Dewas section of National Highway N0.3 for a stretch of 342 km in Madhya Pradesh. The project has a concession period of 30 years.
It had served termination notice as the NHAI could not provide 80 per cent of the land and project environment clearance.