GMDC to set up power plant in Chhattisgarh

Gujarat Mineral Development Corporation Limited (GMDC) has decided to expand its reach beyond Gujarat.

The state-owned mining major has been allotted coal blocks in Chhattisgarh and Jharkhand and the company has decided to go for two pit-head coal"�based power plants with total capacity of 1,250 mw in both the states.

GMDC has been granted approximately 350 million tonne of mineable reserves in Morga-II block of Korba district in Chhattisgarh and another plot in Jainnagar, Hazaribaug district in Jharkhand, with 100 million tonne mineable reserves.

AL Thakor, general manager, GMDC, told Business Standard, GMDC would set up two coal-based pit-head power projects in both the states. In Morga-II block, Thakor said, the power project would have an initial capacity of 500 mw, which will be raised later on to 1,000 mw. At Morga, the total mine area allotted is around 2,000 hectares and the deposits are enough to last for several years.

Regarding the second mine Thakor said with 100 million tonne of mineable reserves the company would set up 250 mw coal-based power plant right at the mine site.

"It will take six to nine months for initial exploration and data collection. Once that is over we will start power project activity at both the places," said Thakor.

The power projects are expected to go on stream almost simultaneously with the coal production from the mines.

GMDC has interests in many other minerals like bauxite and manganese, has forayed into power generation also with its first 250 mw power station in Kutch, which will become fully operational by November 2006.