Singareni executes loan pact with PFC

State-owned Singareni Collieries Company Limited (SCCL) on Tuesday executed the necessary documents pertaining to the Rs 3,980 crore loan offered by the Power Finance Corporation (PFC) for the proposed 1,200-Mw power project in Adilabad district. The company also executed documents for operating an escrow account with State Bank of Hyderabad, according to a press release.

SCCL has proposed to set up two units of 600 Mw at a total capital outlay of Rs 5,685 crore at Pegadapalli. The first and second units are scheduled to be completed in 39 months and 43 months respectively from the date of placing the orders on BHEL. The company had already issued a letter of intent to BHEL for supply of boiler and turbine generator a month ago.

The company had entered into a power purchase agreement (PPA) with state Discoms for sale of 1,050 Mw and the balance 150 Mw is proposed to be utilised for captive consumption.