Neyveli Lignite to invest Rs 4,192 crore

Neyveli Lignite Corporation Ltd (NLC) has announced that it would invest Rs 4,192.06 crore in increasing the lignite production capacity of its second mine from 10.5 million tonnes per year to 15 million tonnes per year, and in expanding the power generating capacity of second thermal power station from 1,470 mega watt to 1,970 mega watt.

The Union government has accorded approval for the expansion of capacities of its Mine-II and thermal power station-II, the company informed.

The company has also got government approval for an investment of Rs 1,368.25 crore in the lignite mine (2.1 million tonnes per annum) linked to thermal power station of 250 mw at Barsingsar in Rajasthan, it said.

It has placed orders for major equipment in both mining and power projects in Rajasthan.

The above projects are expected to be commissioned in 2008. On completion of the above projects, the NLC's mining and power generating capacities will be 30.6 million tonnes per year and 3,240 mega watt respectively, the company said.