IL&FS readies ONGC's power project for execution
Infrastructure Leasing and Financial Services Limited has completed the ground work for setting up of ONGC's 750 MW integrated gas-based power project in Tripura at a cost of Rs 3,700 crore.
By PTI |
NEW DELHI: Infrastructure Leasing and Financial Services Limited has completed the ground work for setting up of ONGC's 750 MW integrated gas-based power project in Tripura at a cost of Rs 3,700 crore.
The debt component of the power project with associated evacuation system will be Rs 2,500 crore while the remaining will be equity.
"ONGC will take 50 per cent equity stake while Infrastructure Leasing and Financial Services (IL&FS) has underwritten 50 per cent stake," IL&FS Chairman Ravi Parthasarathy said here.
Out of the 50 per cent underwritten by it, he said IL&FS will retain 26 per cent and give the remaining equity to prospective investors.
The debt funding will be shared by lead financier India Infrastructure Finance Company (IIFC), the OIC (Oriental Bank, Indian Bank and Corporation Bank) consortium and IL&FS.
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IIFC is likely to finance upto 20 per cent of the project cost or Rs 740 crore in debt while IL&FS will take a minority exposure. Talks are on to finalise which bank from the OIC alliance will take how much exposure.IL&FS has done the project development work and is likely to be the implementing agency.
Similarly, IL&FS is doing the project development work (preparatory work before a project is implemented) for the 1200 MW Tiesta III power project in Sikkim of Tiests Urja Ltd.
The total project cost of Tiesta III is estimated to be Rs 6,000 crore (Rs 2,500 in equity and Rs 3,500 in debt).
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IL&FS is also likely to take equity stake in the project, which will be ready for implementation by March 2007, IL&FS Managing Director D K Mittal said.Start a SIP with as low as ₹500 with ET Money App!
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