NTPC partners with Coal India Limited to foray into fertilizer sector

State-run power producer NTPC has signed a joint venture agreement (JVA) with state-run miner Coal India Limited (CIL) to revive plants of the Fertilizer Corporation of India Limited (FCIL).
The agreement will pave the way for NTPC to foray into fertilizer sector and revive existing fertilizer plants of FCIL.
Under the agreement

• A joint venture (JV) company will take up the revival of FCIL plants at Sindri in Bihar and Gorakhpur in Uttar Pradesh by setting up an ammonia urea plant at each location.
• The JV company would initially be incorporated with 50:50 equity participation from both state run entites.
• It also contain provisions of inducting strategic partners at a later date depending upon business requirement of JV company.

Month: Current Affairs - May, 2016