Tata Power said it has acquired 26 per cent stake in Baramulti Sukses Sarana (BSSR), Indonesia.
BSSR owns coal resources in coal resources in south and east Kalimantan in Indonesia. The company is based in Cilegon, Indonesia.
The acquisition is through Tata Power’s 100 per cent subsidiary, Khopoli Investments.
Tata Power said Antang Gunung Meratus (AGM), a wholly owned subsidiary of the BSSR, and BSSR together own about one billion tonnes of coal resources in South and East Kalimantan in Indonesia. BSSR is listed on the Indonesian Stock Exchange.
Tata Power had earlier signed a long-term coal supply agreement with AGM.
Anil Sardana, Managing Director, Tata Power, said, “We recognise fuel security is key to support Tata Power’s growth agenda. Besides, entering into coal off-take agreement, we have acquired 26 per cent stake in this coal mine too as its reserves and outlook is very promising. This acquisition aims to support our power generation projects in select geographies, to be developed over the next few years.”
Tata Power also has a 30 per cent equity stake in Kaltim Prima Coal and Arutmin Indonesia. As part of the purchase, Tata Power had signed an ‘offtake’ agreement that entitles it to purchase about 10 million tonnes of coal per annum.
A consortium of Tata Power, Origin Energy and Supraco is also developing a geothermal project in Indonesia with about 240 MW of generation capacity.
shanker.s@thehindu.co.in