NMDC Power, a subsidiary of NMDC, is planning to set up a coal-based power project at Turkadih in the Gonda district of Uttar Pradesh.

The company will invest Rs 3,016.40 crore to develop the unit with 500 MW capacity. The project, spread over 600 acre, will consist of two units with 250 MW capacity, each. It will require E/F grade coal which the company will source from NCL. Further, for fulfilling the requirement of higher CV coal (C grade), NMDC Power will source out the coal from Shahpur west and east coal blocks, in Madhya Pradesh, allocated to the company by the Coal Ministry.

The total coal required will be either 1.988 million tpa at 85 per cent power loading factor or 2.10 million tpa at 90 per cent power loading factor, depending on the efficiency of the plant.

The proposed coal handling system entails two streams of conveyors - one working and one standby. The coal handling system will be designed to cater to the requirement of the unit. Each conveyor stream will be of 1,000 tonne per hour capacity.

The company has already submitted its application for firming up the terms of reference (ToR), for obtaining environment clearance for the project.