Bharat Heavy Electricals has bagged an order valued at Rs.1,800-2,000 crore for setting up a 2x250 MW captive thermal power plant for Jindal Steel & Power at Angul in Orissa.

The order was bagged on a negotiated basis, and the bipartite agreement was signed on 26 December 2005. The execution of the order would begin in January 2006.

The captive power plant will be associated with JSPL's greenfield integrated steel plant of 6 million tpa capacity in Angul district of Orissa.

It may be recalled that JSPL had entered into an MoU with the Orissa government in October 2004 to set up a 2 million tpa plant in Keonjhar district of Orissa. The company, in November 2005, entered into a revised MoU changing the envisaged capacity of the steel plant to 6 million tpa and the location to Angul. The steel plant along with its associated facilities is likely to cost Rs.13,135 crore.

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Jindal Steel signs pact with Lurgi for coal gas unit (20-Nov-05)