BHEL, NPCIL sign joint venture pact for nuclear power projects
04 April 2008
Mumbai: Bharat Heavy Electricals Ltd (BHEL) has signed an MoU with Nuclear Power Corporation to form a joint venture company for undertaking nuclear power projects.
The joint venture will undertake engineering, procurement and construction projects within and outside the country.
"We will be putting in an investment of Rs200-250 crore in the joint venture. The JV is looking for a technological partner, which would be an international company," BHEL chairman and managing director K Ravi Kumar said.
The two companies are in talks with groups based in France, Germany and the United States for a technology partner, Kumar said, adding the JV would be formed within a year. He declined to give names of the likely technology partners.
The JV, he said, will leverage BHEL's expertise in manufacturing nuclear power equipment and NPCIL's expertise in executing nuclear power projects.
"We will use BHEL's Bhopal facility. We are already making up to 540 MW turbine and steam generators and testing 700 MW turbines and steam generators," Kumar said.
He said financial details and ownership structure of the joint venture will be worked out by the two partners later. The equity structure will depend on whether the technology partner is willing to buy a stake, Kumar added.