GMR Group achieves fin closure of Kamalanga Energy

Nifty BSE | NSE 31/05/12 Are Mutual Funds betting on Nifty?

Q: If I have the number correct, you may have another 5,000MW which is under construction at the moment. Could you tell us which of them hit the critical commissioning or commercial commissioning whatever the terminology use in fiscal '10 and fiscal '11 how much does that add to your revenue and any other plant coming up for financial closure right now?

A: No. Right now no other project is coming in near future for financial closure. However, we have seven projects under development. One has achieved a financial closure today and the remaining six are under various stages of active development.

We are developing a 1200MW coal based thermal power project in Chhattisgarh which would see in near future financial closure. Moreover, seven hydro projects are also under different stages of development. So, all these will come in the next three-five years of time and all the projects will be commissioned.

Q: What is your understanding from the banks right now? What kind of cost of capital are you paying and would you give us an indication of how much it has dropped by or increased by compared to your last financial closure?

A: This is basically, fairly under the present economic scenario and the present policies of the banks. We are now working out a floating rate and it is working out very well. We will see a forward reduction in the interest rates so exact number will not be available to give you at this juncture. However, since it is being floated under floating basis, so the rates will drop down in the near future.