Mumbai: National Aluminium Company Limited (NALCO) and NLC India Limited (NLCIL) signed a Joint Venture-cum-Shareholders' Agreement on Wednesday, 8 July 2026, to establish a 1,080 MW thermal captive power plant (CPP) at Anugola, Odisha.
Joint Venture Details
The agreement forms a 50:50 joint venture company (JVC) to develop a 4×270 MW power plant. The JVC will have its registered office in Chennai and corporate office in Bhubaneswar.
Power Purchase and Fuel Supply
The JVC will enter a 25-year Power Purchase Agreement with NALCO for 100 percent offtake of power. It will also secure a long-term Fuel Supply Agreement with NLCIL for coal at Coal India notified prices.
Strategic Importance
This agreement follows a non-binding Memorandum of Understanding signed between NALCO and NLCIL on 14 February 2026. The partnership aims to support NALCO's expansion and NLCIL's energy projects.
NALCO Expansion Needs
NALCO is undertaking a 0.5 million tonnes per annum (MTPA) aluminium smelter expansion at Anugola, projected for commissioning in 2030-31. This expansion requires an additional 800 MW of assured captive power.
Plant Development Plan
The JVC will develop the 4×270 MW brownfield thermal capacity within NALCO's existing CPP premises at Anugola in a phased manner. NALCO also plans to pursue 200–250 MW of firm Renewable Energy (RE-RTC), with NLCIL's support.
NLCIL's Role
NLCIL, a Navratna Central Public Sector Enterprise, brings experience in lignite and coal mining, and thermal/renewable power generation. It will provide assured long-term coal supply, including from its Machhakata coal mine near Anugola.
Disclaimer: This story is based on company exchange filings and is for informational purposes only. Investors should evaluate risks before making decisions.
