Larsen & Toubro eyes nuclear power sector

Engineering giant L&T has said it aims to be a big player in the country's nuclear energy sector, but if the Indo-US agreement falls through it will not have any impact on the company's growth.

"Yes, we want to be a big player in the country's nuclear energy sector if it is opened up to the private sector," L&T Chairman A M Naik said.

"We, however, have not factored that in our business. If it comes through, it will be a bonus and if it falls through, we won't be losing anything," he said.

The engineering major is an established player in the nuclear power sector and provides engineering, procurement and construction services for nuclear power plants.

It is working on the 2,000 mw Kudankulam nuclear project and has completed a complex spent fuel storage facility at Tarapur for Bhabha Atomic Research Centre.

Asked about his view on the Indo-US nuclear power deal, Naik said, "I have not seen the agreement and thus will reserve my comment. But, it appears to be positive."

The company is also in the final stages of negotiations with Japan's Toshiba to manufacture super-critical turbines.

Naik said the tie-up would be in line with its present agreement with Japanese Mitsibishi Heavy Industries for super-critical boiler technology.

"We are negotiating with two companies now. Whoever be our partner, we will have 51 per cent stake in the proposed steam turbine venture, while our partner will have the remaining 49 per cent stake," Naik said.

Sources in the company, however, said the agreement with Toshiba is almost through, barring a few legalities.

"The investment would be in the range of Rs 300 crore," the sources said, adding that the location for the proposed joint venture facility would 'most probably' be in Hazira, where the company has excess land.