Tata Power, Doosan ink $1bn deal for Mundra

Tata Power Company (TPC) has signed a contract worth nearly $ 1billion (Rs 4,100 crore) with Doosan Heavy Industries & Construction Company, Korea for the first 4,000 MW Ultra Mega Power Project (UMPP) at Mundra, Gujarat.

According to a release issued by Tata Power to the BSE today, the company will bring in the first 800 MW unit to India. "The contract for the complete boiler island includes super critical boilers for five units of 800 MW each based on super critical technology required for such large-sized units. The technical scope with clear terminal boundaries and interface scope for boilers include supply of super critical steam generator, electrostatic precipitators and instrumentation," the release added.

According to a report filed by Bloomberg, the deal is worth nearly $1 billion (Rs 4,100 crore), and the construction is expected to be completed by April 30, 2012. The details are based on a regulatory filing made by Doosan in Seoul today.

Prasad R Menon, managing director, Tata Power said: "This agreement is a significant step towards our drawing on the technical expertise of a strong international player like Doosan Heavy Industries Construction. The partnership will provide an excellent technical solution for Mundra UMPP, which is also cost competitive."

The company had recently announced the acquisition of Coastal Gujarat Power, a special purpose vehicle (SPV) formed for Mundra UMPP.