Chennai: Integrated lignite and coal mining and power generation company NLC India has awarded an EPC contract to BHEL for a 2,400 MW pit head greenfield thermal power project in Odisha, the two companies said.

In a regulatory filing, NLC India said the 2,400 MW(3×800 MW) pit head power project (captive or stand-alone power unit having a captive transportation system for the exclusive movement of coal from the loading point at the mine up to the unloading point at the power station, without using any other mode of transportation Ed..) will come up at Jharsuguda District in Odisha based on Ultra Supercritical Technology (generators where the water temperature above is above 700 °C/1,292 °F Ed.).

EPC contract scope includes engineering, manufacturing, supply, erection and commissioning of equipment such as boilers, turbines, generators, balance of plants and others.

“The entire power of 2,400 MW is tied up with the states of Tamil Nadu, Odisha, Kerala and Puducherry and PPAs (power purchase agreement) already executed,” NLC India said.

The coal linkage is available from 20 MTPA Talabira II & III OCP mines of NLC India which are already operational since the year 2020 in the Jharsuguda and Sambalpur districts of Odisha.

The water required for the project is linked from the Hirakud Reservoir.

Boilers will be designed to suit the co-firing of Biomass as part of the Green initiative.

The first unit of the project is scheduled for commissioning in FY 2028-29.

Being a pit head thermal power project, the variable cost will be competitive and NLC India, will be generating and providing low-cost power to its beneficiaries, the company said.

According to BHEL, the equipment for the project will be manufactured at its Trichy, Haridwar, Hyderabad, Jhansi, Bengaluru, Ranipet, Bhopal, Rudrapur and Varanasi plants.

As to the order size, BHEL said: “In excess of Rs 15,000 crore excluding taxes & duties.