New
Delhi: GAIL (India) may infuse additional funds into
Ratnagiri Gas and Power Private Ltd (RGPPL), the erstwhile
Dabhol project on a request by the government.
Earlier,
the company said that it would invest another Rs500 crore
in the project provided it was given the liquefied natural
gas (LNG) terminal of RGGPL.
Now
though GAIL plans to wait for the Government to take a
final call on hiving off the LNG terminal, the company
will continue to make the first claim on it. However,
in case the terminal is not hived off, the infusion of
additional funds will not have any adverse impact on GAIL''s
finance, as GAIL will get returns on its investment, they
added.
GAIL
holds 28.33 per cent equity in RGPPL, which has under
it a 2,150-MW power plant and a five-million-tonnes-per-annum
LNG terminal and re-gasification facility.
RGPPL
requires Rs450 crore for revival of power plants and Rs565
crore for the LNG works, but it does not have the money
to pay the contractors.
The
Government was considering the option of hiving off the
LNG
terminal and selling it in order to expedite the revival
of the Dabhol project.
RGPPL
holds both the assets of the power project - the 2,150
MW power plant and the five millions tonnes LNG.
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