GIPCL to set up two lignite-based power plants

Gujarat Industries Power Co Ltd (GIPCL) is proposing to expand its lignite-fired power generating capacity with an investment of Rs 1300 crore by installing two units of 250 MW each.

The estimated investment covers the plants at Nani Naroli, a small village about 45 km from Surat in south Gujarat, and lignite mine expansion.

Company sources said the project would be financed by debt and internal accruals. While the debt portion would be around 70 per cent, about Rs 400 crore would come from internal accruals.

The Vadodara-based company already has two 125 MW units of lignite-fired power plants in Nani Naroli. Bharat Heavy Electricals Ltd (BHEL) is executing two more units, both of which are to be completed by 2008.

For the new expansion project, the company had invited technical bids for the EPC contractor. The last date for submission of the bids was Aug 16.

The additional units of 250 MW will use the eco-friendly circulating fluidised bed combustion (CFBC) steam generators technology. The company has the option to up the installed capacity by 20 percent taking advantage of the new facility.

GIPCL was promoted by Gujarat Urja Vikas Nigam Ltd (GUVNL - erstwhile Gujarat Electricity Board), Gujarat State Fertilizers and Chemicals Ltd (GSFC), Gujarat Alkalies and Chemicals Ltd (GACL) and Petrofils Cooperatives Ltd.

It commissioned its first power project, a 145 MW gas-based combined cycle power plant, in February 1992 at Vadodara. Power from this plant is distributed to its promoters in proportion to their original equity holding.

The company expanded its capacity and commissioned a 160 MW naphtha and gas-based combined cycle power plant here in November 1997 as independent power producer (IPP) with a power purchase agreement (PPA) with GUVNL. Later it commissioned the 250 MW lignite-based power plant

[30/08/2007] Calls...

BEST BUY

GMR INFRA (BUY) 829 (Target1) 836 ( Target 2) 845 (Sl) 809

JUPIER BIO (BUY) 179 (Target1) 183 ( Target 2) 185 (Sl) 172

CINEMAX IND (BUY) 137 (Target1) 140 ( Target 2) 144 (Sl) 131

Ashok Leyland, Nissan form partnership

Ashok Leyland Ltd and Nissan Motor Co have formed a partnership to make light commercial vehicles, the two companies said on Wednesday.

The companies would form three ventures for vehicle manufacture, powertrain manufacture and technology development, they said in a joint statement.

The vehicle manufacturing venture will be majority-owned by Ashok Leyland and have an annual production capacity of more than 1,00,000 units in India, it said

Sensex ends up 74pts, Tata Steel zooms 9%

Taking cues from the overseas markets, the Sensex opened with a huge negative gap of 268 points at 14,651 and dropped to a low of 14,592. However, fresh buying (mainly in Tata Steel) at lower levels saw the index recoup losses in early trades.

Buying spread to other counters as the day progressed, and the index rebounded by mid-noon trades. The index touched a high of 15,030 - up 438 points from the day's low. The Sensex finally ended with a gain of 74 points at 14,993.

The BSE Metal index surged over 4% to 11,204. The Oil & Gas index was up over 1% at 7937.

The market breadth was positive - out of 2,693 stocks traded, 1,533 advanced, 1,093 declined and 67 were unchanged today.

INDEX MOVERS...

Tata Steel soared 9% to Rs 660. ONGC surged 3% to Rs 834, and BHEL added 2.5% to Rs 1,851.

Hindalco and Reliance Energy rallied 2% each to Rs 157 and Rs 782, respectively. Tata Motors advanced 1.8% to Rs 675.

SBI and ACC gained 1.7% each at Rs 1,575 and Rs 1,044, respectively.

Larsen & Toubro, Ranbaxy and Grasim moved up around 1.5% each to Rs 2,588, Rs 372 and Rs 2,910, respectively. Bajaj Auto was up 1% at Rs 2,319.

Metal stocks witnessed huge buying today. SAIL surged 5% to Rs 161. Jindal Saw Pipes, Jindal Stainless, Jindal Steel, JSW Steel, National Aluminium, Sesa Goa, Sterlite and Shree Precoated were up 2-3% each.

...AND THE SHAKERS

Infosys shed 2.5% to Rs 1,834. NTPC dropped 1.3% to Rs 165.

HDFC and Satyam slipped around 1% each to Rs 1,957 and Rs 445, respectively.

MOST ACTIVE COUNTERS

Tata Steel topped the value chart with a turnover of Rs 212 crore followed by Reliance (Rs 175.70 crore), Everonn Systems (Rs 168 crore), ICICI Bank (Rs 134 crore) and Axis Bank (Rs 131.50 crore).

Ispat Industries led the volume chart with trades of around 3.64 crore shares followed by Tata Steel (3.25 crore), Nagarjuna Fertilisers (1.48 crore), UCO Bank (87.75 lakh) and IFCI (85.50 lakh).

DLF buys 25-acres in Hyderabad for Rs 450cr

DLF, the country's biggest realty firm, has bagged a deal to acquire
25 acres of land in Hyderabad from the state government for about Rs
450 crore.

The company is buying a 25-acre plot from the Andhra Pradesh
government at a rate of Rs 18.11 crore per acre, which means the total
cost is around Rs 452.75 crore. The land would be used for developing
IT premises, Rajeev Talwar, executive director, DLF told PTI here.

The deal comes days after the Delhi-based company agreed to buy 38
acre in the national capital for Rs 1,675 crore in the country's
biggest land deal.