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NCC nearing financial closure for Sompeta power project

Tuesday, 30 Mar 2010
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Nagarjuna Construction Company (NCC) is in the process of achieving financial closure for its thermal power project that is coming up at Sompeta in Srikakulam district of Andhra Pradesh.

The project is to have a capacity of 2,640 MW (4x660 MW) and is being planned with an expenditure of Rs 12,000 crore. NCC is planning for a debt-equity ratio of 75:25. REC has committed a sum of Rs 2,000 crore for the project. Various financial institutions, including PFC, Stae Bank of India and the ICICI Bank, have given their commitments to the company for its project

The company plans to execute the project in two phases of 2x660 MW each. With about 1,100 acre already available to the company, it is likely to begin construction immediately after the funds are tied up. The plant's coal requirements have already been tied up with Mahanadi and South Eastern Coal.

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