Union Minister of State (IC) for Petroleum and Natural Gas, Shri Dharmendra Pradhan and Union Minister of State (IC) for Power, Coal, New & Renewable Energy and Mines, Shri Piyush Goyal presided over the signing of a Memorandum of Understanding (MoU) between NTPC Limited and National Aluminium Company Limited (NALCO) on 16th Dec.
The MoU will facilitate the setting up of a Joint Venture (JV) Company to establish a 2400 MW coal based power project at Gajmara, Dhenkanal, Odisha.
Brownfield expansion of its 5 lakh tonne Aluminium smelter at Angul and the Greenfield project of a 6 lakh tonne smelter at Kamakhya Nagar, Odisha will be approximately Rs. 36,000 crores.
NTPC would be able to provide uninterrupted power supply to NALCO’s plants through this project.
On the other hand, NALCO would be able to produce Aluminium in the country, which previously was not possible due to high power prices, he said.
The JV between NTPC and NALCO has potential to create value for both the companies which have public equity – both Government of India equity as well as publicly held equity.
Both the companies will initiate the efforts on fast track and necessary modalities like the Joint Venture Agreement, Power Purchase Agreement etc. will be finalised by the end of the current financial year.
