Jindal Steel and Power acquires debt-laden Monnet Power for ₹410 cr via NCLT

According to Kapil Mantri, head of strategy at JSP, the deal for the 1,050 megawatt power asset with an address in Odisha was finished on Wednesday.

“We have won the bid for ₹410 crore for liquidation of power plant of Monnet Power via NCLT route,” he said.

According to Mantri, the new asset will supply power to JSP’s steel plant in Angul, which is currently expanding.

In response to a question about the power plant’s operations, he said it is still a construction project, but his company hopes to start operating it within the next 12 months by injecting new capital.

“We still have to estimate the investment needed to make the plant operational. This asset will use 25 per cent less coal helping in low carbon emissions,” the company official said.

Uktak C, B1, and B2 mines of JSP will provide coal.

With investments totaling ₹90,000 crore around the world, JSP, a member of the OP Jindal Group, is a major player in the steel, power, and mining industries.

In February 2020, following bankruptcy proceedings, Monnet Power Company Limited, had invited bids for sale of its power plant in Angul, Odisha.

The Angul plant is a thermal power plant comprising two units of 525 MW capacity each. In 2007, Monnet Power, a subsidiary of Monnet Ispat, was incorporated for setting up a thermal power plant in Odisha.