BHEL, NPCIL to Sign JV Agreement on Friday

The Economic Times
Apr 3, 2008

New Delhi: State-run Bharat Heavy Electricals today said it will sign a memorandum of agreement tomorrow with Nuclear Power Corporation of India to float a joint venture for manufacturing equipment for nuclear power plants. The joint venture would also take up engineering, procurement and construction activities for nuclear power projects in India and abroad, BHEL Chairman and Managing Director K Ravi Kumar told reporters here. The power equipment manufacturer expects to spend a sum of over Rs 4,000 crore in the proposed joint venture, he said, adding that the investment would be funded through internal accruals. BHEL is also expected to soon incorporate a joint venture with NTPC Ltd to manufacture power equipment and offer EPC services to power producers. The two firms had signed a JV agreement in December. BHEL has signed a joint venture agreement with the state electricity board of Tamil Nadu and is also in negotiations with power utilities of Orissa, Gujarat, Karnataka and Uttar Pradesh. The company seeks to set up power projects in joint venture with the boards. It would pick equity of up to 26 per cent in the proposed power projects.