In Andhra Pradesh, Jindal Steel is planning to buy a coal-based power plant at Nellore from Kineta Power. Kineta Mines & Minerals is owned by Bangalore-based V Balashowry, primarily engaged in export of iron ore and are also the suppliers of burnt lime, limestone and dolomite.
The value of the deal is not disclosed. The coal based power project is coming up near krishnapatnam Port in Nellore district. The cost of setting up a 1320-mw power plant is Rs 5000 crore.
Buying of the power plant would help the company to expand its footprint in the south. Amarchand Mangaldas is the advisor to the deal. A number of companies are setting up power projects in the area including Reliance Power, Gayatri Energy Ventures and Nagarjuna Construction Company (NCC).