Patel Engineering enters into MoU for 100 MW Gongri Hydro-electric in Arunachal Pradesh

Patel Engineering Ltd on October 15, 2007 has announced that the Company has enter into a Memorandum of Understanding (MoU) with the State Government of Arunachal Pradesh for setting up a 100-MW Gongri Hydro-Electric Power in West Kameng District of Arunachal Pradesh. The project shall be implemented on BOOT basis for a lease period of 40 years from the commercial operation date. The State Government shall be given free power at the rate of 12 per cent and the expected revenue from the project is Rs 120 crore per annum.

Mr. Ashwin Parmar, Director of the Company commented, "The Company is already executing Kameng hydro-electric 600 MW project for NEEPCO on cash contract. Therefore logistic will be easily managed and there will be saving in overhead costs as well."

The stock closed the day at Rs.653.85, up by Rs.31.80 or 5.11%. The stock hit an intraday high of Rs.669.80 and low of Rs.630.

The total traded quantity was 223518 compared to 2 week average of 228109.

Source : Equity Bulls

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