Nalco seeks stake in nuclear power projects
16 Sep 2009
Joining the bandwagon of companies hoping to cash in on the government's plans to increase nuclear power generation to 60,000 mw, state-run National Aluminium Co Ltd plans to invest in a nuclear power project to give the metal maker a new revenue stream, the company announced today.
NALCO hopes to sign a joint venture agreement by the end of this month with state monopoly Nuclear Power Corporation of India Ltd for a minority stake in one of its projects, B L Bagra, NALCO's director for finance, said.
The company is in talks with NPCIL to jointly set up a Rs12,000 crore nuclear power plant in South Orissa. Power accounts for nearly half of the input for aluminium making.
"In one of the projects, of 1,000 mw, we are partnering with them as a minority partner with a possible stake of 40 to 49 per cent," he said.
Director of production A K Sharma added, "It is an additional business line ... we can earn money being an independent power producer." Both officials declined to say how much NALCO was planning to invest.
NALCO, India's third-largest aluminium maker, produced 361,262 tonnes of aluminium in 2008/09 that ended in March. It has a 960 MW thermal power plant in Angul in Orissa that feeds its aluminium smelter in the same state.
The proposed nuclear power plant would be the first in the country after the signing of the 'Indo-US nuclear deal'. Even prior to the deal, NPCIL had proposed to set up a mega nuclear power plant at Gopalpur, a beach resort town in south Orissa.
.webp)
