Sun Group ties up with Russian firm for power plants

MOSCOW: Indian company Sun Group on Sunday signed a framework agreement with Russia's HydroOGK for the construction of a string of midget and mini hydro-electric power plants in India and Nepal.

HydroOGK is Russia's largest hydroelectric company and has a rich expertise in building mini and midget power plants in the Caucasus Mountains.

Announcing the signing of the deal between the Indian group owned by the Khemkas and the Russian company at the St. Petersburg International Economic Forum, Russia's Economy and Trade Minister German Gref said the agreement was of key importance for Russian Electricity Monopoly Unified Energy System (UES), which controls HydroOGK.

The two companies would set up a managing company on a parity basis before the end of the year, HydroOGK CEO Vyacheslav Sinyugin said.

Sun Group, which initially invested in Russia's beer industry, is currently involved in joint projects with Itera, Russia's largest independent natural gas producer.

Suntera, the joint venture of Itera and Sun Group is taking part in the construction of a terminal for liquefied natural gas in Gujarat, RIA Novosti reported.