East Coast Energy (ECEPL) is likely to raise funds for its Phase II of 2,640-MW Bhavanapadu greenfield coal based power plant in the Srikakulam district of Andhra Pradesh by September 2010. ECEPL is a SPV of Asian Genco Pte, Singapore, Athena Energy Ventures and AIP power, with equity of 51:26:23 respectively.

The plant is envisaged to be developed in two stages with an ultimate generation capacity of 2,640 MW. Each stage is planned with capacity of 1,320 MW having two units of 660 MW.

The company has already mopped up funds for the Phase I of the project. The entire project is being funded with a 25:75 equity structure. While the equity component has been closed after the recent private placement from Morgan Stanley and others, the debt component is also nearly concluded with PFC providing the funds. The project debt works out at Rs 5,000 crore and equity Rs 1,600 crore.

In March 2010, Morgan Stanley's infrastructure arm, Goldman Sachs and General Atlantic, had invested about $425 million (approx Rs 1,870 crore) in Asian Genco, which has helped in closing the necessary funding.

Currently, work on the Phase I on the project is under way. The coal linkage for the project has been secured from Mahanadi Coal Fields, Talcher.

Related Links:
Project profile