Neyveli Lignite inks pact with UP's PSU for Rs 11,128-crore project

CHENNAI: Neyveli Lignite Corporation has inked a joint venture agreement with a Uttar Pradesh government undertaking company for setting up a 1,980-MW coal based thermal power project in the state at an investment of Rs 11,128 crore.

"..a joint venture agreement has been entered between Neyveli Lignite Corporation and Uttar Pradesh Rajya Vidyut Utpadan Nigam Ltd on October 6 for setting up 1,980-MW coal based power project," NLC said in a release.

The Rs 11,128 crore project is expected to come up in Ghatampur Tehsil, Kanpur Nagar District, Uttar Pradesh in which NLC will hold majority stake of 51 per cent, it said.

The company had said the fund requirement for the project would be met through internal accruals and borrowings.

Shares of the company were trading a Rs 86.70 a piece up by two per cent over the previous close, in h afternoon BSE.