GMR Infrastructure, the Bangalore-based infrastructure firm which is into development of airports, power projects and roads, has announced that its wholly owned subsidiary GMR Energy Limited, has acquired 5 per cent stake in Homeland Mining & Energy in South Africa.
This company is a subsidiary of Homeland Energy Group of Canada. GMR Infrastructure has further added that they have an option to acquire an additional 45 per cent of this SA firm in due course.
GMR Energy is process of executing two 1,000 MW coal fired power plants in Orissa and Chattishagarh respectively. The Orissa project is expected to generate power from 2012, while the Chattisgarh is likely to be at a much later stage as the MoUs have recently been signed.
GMR Energy currently has three power plants operational generating 800 MW, none of which are on coal. In addition to the two thermal projects, GMR Energy is tying up four more projects across India.
According to a statement from GMR Infrastructure, Homeland Mining holds license for several coal mining projects in South Africa. "This acquisition would ensure fuel security for GMR Group's power projects in India and such a transaction also acts as a catalyst in the development of the energy business of the Group," the statement added.
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