Lanco Infratech commences power supply to Haryana discoms

Our Bureau Hyderabad | Updated on January 22, 2018 Published on December 07, 2015

Lanco Infratech Ltd (LITL) today announced the commencement of power supply to Haryana discoms from its domestic coal-based 300 MW Unit 2 of the Lanco Amarkantak Power Ltd (LAPL), Chhattisgarh.

With the supply at regulated tariff from this pithead plant, the entire 1800 MW operating coal-based power portfolio of Lanco is now utilised to its full capacity with fuel pass-through, a company release said.

L Madhusudhan Rao, Chairman, Lanco Infratech Ltd, said, “The resumption of power supply to Haryana discoms is going to be profit assertive for us in the coming quarters as it will double the revenues of Lanco Amarkantak to around Rs 1,200 crore and increase EBITDA by around Rs 200 crore for a full year of operations, and will also have a positive impact on the overall financials of Lanco Group.”

Overall “the current fiscal is very good and path breaking for us. We reported a profit after 12 consecutive quarters of losses, a turnaround which was made possible by a noteworthy spurt in EPC revenues and favourable regulatory orders,” he said.

LAPL has recently got a favourable order from the Supreme Court directing South Eastern Coalfields Ltd to supply coal to the 300 MW Lanco Amarkantak unit II, treating it as a unit having a subsisting long-term PPA. 

The company on September 24 executed the documentation for flexible refinancing with its lenders for the 2 x 300 MW Unit 1 & 2. It has also completed the documentation for the cost overrun financial closure of its 2 x 660 MW expansion project. The court also ordered Power Grid Corporation to provide a transmission corridor to this project, the release added.

Published on December 07, 2015
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