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Construction work of OPGC 3 & 4 units commences

IB Thermal, 24/02/2014: Chief Minister Mr. Naveen Patnaik kicked off the construction work of 1320 MW expansion project of OPGC (units 3 & 4) here during his visit to IB Thermal Power Station, on Sunday afternoon. A function in this regard was organised in the IB Thermal Power Station premises where the Chief Minister flagged off the construction of OPGC Units 3 & 4 as well as operation of a lift irrigation project at Binka village which was also set up by OPGC. Minister of Energy and I & PR Dr. Arun Kumar Sahu was present on the occasion along with Secretary, Energy Mr. P K Jena, IAS who is also the Chairman of OPGC, CMD of Gridco Mr Hemant Sharma, IAS, Managing Director of OPGC Mr. Shankaran Subramanium, Director(Operation ) of OPGC Mr. Indranil Dutta, Chief Operating Officer AES Corporation Mr. Andrew Martin Vesey were present along with senior government, OPGC and AES officials.

OPGC Units 3 & 4 project consists of construction of 2x660 MW power plant, development and operation of captive coal mines Manoharpur and Dip Side and, development and operation of railway line Merry- Go –Round (MGR) for transportation of coal at a projected total cost Rs.11,547 crores to be funded at a debt equity ratio of 75:25. Debt financing of Rs.8,660 crores has been tied up jointly with Power Finance Corporation (PFC) and Rural Electrification Corporation (REC). The power plant will be constructed under two EPC packages, Boiler - Turbine – Generator (BTG) supply and erection, which has been awarded to BHEL and Balance of Plant (BOP) supply and erection, which has been awarded to BGR Energy. Mine operation is to be done through a Mine Operator and MGR construction will be through an EPC contractor who will be selected through competitive bidding. 50 per cent of the power generated from these two new units is to be supplied to the state through a regulated PPA with GRIDCO. Balance is meant for direct sale through open access. The project involves acquisition of around 3500 acres of land rehabilitation of around 200 families in the mine and MGR area.

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