Power Generation Company Sign Joint Venture Agreement With Assam Power Distribution Company Ltd
The stock is up by 24 per cent from its 52-week low of Rs 193 per share and gave multibagger returns of 240 per cent in 3 years.
NLC India Renewables Limited (NIRL) and Assam Power Distribution Company Limited (APDCL) signed a Joint Venture Agreement to develop a 1000 MW solar power project in Assam. This collaboration aims to strengthen Assam's energy security and contribute to the state's long-term energy goals.
The joint venture company will be established with an equity shareholding of 51 per cent by NIRL and 49 per cent by APDCL. NIRL will leverage its expertise in renewable energy project development, while APDCL will facilitate land acquisition, regulatory approvals, and power evacuation infrastructure. Power Purchase Agreements (PPAs) will be signed with Assam DISCOMs for the sale of 100 per cent of the generated power for 25 years.
This project is a significant step towards increasing renewable energy penetration in Assam's energy mix and aligns with the Government of India's focus on sustainable development. The joint venture company will also focus on deploying innovative technologies to maximize efficiency and minimize the carbon footprint of the project.
Overall, this joint venture agreement is a positive development for Assam's energy sector and will help the state meet its growing energy demands in an environmentally responsible manner.
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About NLC India Ltd
NLC India Ltd is a government-owned company in India primarily involved in lignite mining and thermal power generation. It operates mines in Tamil Nadu and Rajasthan, using lignite to produce electricity. This power is then sold to various states in India, including Tamil Nadu, Rajasthan, Andhra Pradesh, Kerala, Karnataka and Puducherry. As a Navratna company, NLC India holds a significant position in the Indian energy sector.
The company has a market cap of over Rs 31,000 crore and has been maintaining a healthy dividend payout of 25.4 per cent. The stock is up by 24 per cent from its 52-week low of Rs 193 per share and gave multibagger returns of 240 per cent in 3 years. Investors should keep an eye on this multibagger power generation stock.
Disclaimer: The article is for informational purposes only and not investment advice.