Marudhar Power is likely to place orders for critical machinery for its 150 MW lignite-based Guda power plant in June 2006. The company is hopeful of beginning work concurrently on the mining and power generation segments of the project by August 2006. For mining equipment, the company would seek Indian suppliers but for the power plant equipment, negotiations are on with Chinese and European suppliers.

Marudhar Power is setting up a 2x75 MW lignite-based power project in Guda village in Rajasthan's Bikaner district. The company will also undertake mining on over 1,200 ha of land, which incidentally will be the first case of captive lignite mining in India. The entire project, costing around Rs.750 crore, is scheduled for commissioning in August 2008.

The company is a special purpose vehicle owned by bulk power consumers in Rajasthan, KSK Energy Ventures and its associate companies. The proposed power plant will function as a group captive plant for user members. Marudhar Power will wheel the power generated to Rajasthan Vidyut Vitaran - the state government power distribution company -  for use by the project owners.

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