Chennai firm bags Rs.49 bn order for Rajasthan power plantJuly 16th, 2008 - 6:35 pm ICT by IANS
Chennai, July 16 (IANS) The Chennai-based engineering company BGR Energy Systems Limited has bagged a Rs.49 billion engineering procurement construction (EPC) contract for a thermal power project in Rajasthan. Rajasthan Rajya Vidyut Utpadan Nigam Ltd has chosen BGR Energy for its 2×600 MW Kalisindh Thermal Power Project at Jhalawar in Rajasthan.
The scope of the contract includes design, engineering, and supply of boilers, steam turbine generators and complete balance of plant (BOP) equipments, including mechanical, electrical, instrumentation and control systems and civil, structural and architectural works.
“We will source the boiler, turbine and generator from Dangfang Electric Company, China, for $405 million,” said B.G. Raghupathy, chairman and managing director.
The equipment are expected to land in India some time in 2009-10.
“The auxiliary power consumption - power needed to run the equipments - is 54 MW,” said A. Swaminathan, president and CEO, Power Products Division.
He said the value of contracts to be executed in-house will be Rs.20 billion and the balance will be bought out.
Swaminathan said the first 600 MW unit will be commissioned in 39 months and the second unit will go on stream three months later.
This is the second major order for BGR Energy in a short time. Early this month, it announced the award of contract from the Tamil Nadu Electricity Board (TNEB) worth Rs.31 billion for a 600 MW thermal project at Mettur.
According to Raghupathy, the company will be bidding for supplying BOP for projects in Krishnapattanam in Andhra Pradesh, Malwa in Madhya Pradesh, Sarkura in Chhattisgarh and Chabra in Rajasthan as and when the tenders are floated.
After the latest order, the company’s order book position stands at Rs.110 billion.
BGR Energy is in the process of tying up working capital funds to the tune of Rs.10 billion through a 13-member banking consortium.
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