KARACHI: Engro Powergen Limited (EPL) signed a joint venture agreement with China Machinery Engineering Corporation (CMEC) in Beijing on Tuesday for setting up two coal based power plants of 330 MW each in Thar coal field, Block-II.
Engro statement issued here, the joint venture company of Engro Powergen Thar Limited (EPTL) will enter a coal supply agreement with Sindh Engro Coal Mining Company (SECMC) for purchase of 3.8 metric tonnes per annum coal which will be used for power generation.
The joint venture agreement was signed by Chief Executive Officer of EPL, Shamsuddin A. Shaikh and President CMEC, Zhang Chun.
The ceremony was witnessed by Minister of State for Foreign Affairs, Syed Tariq Fatemi, Special Envoy CPEC, Zaffaruddin Mahmood, Managing Director, Private Power and Infrastructure Board (PPIB) Shajahan Mirza and, Managing Director, Thar Coal Energy Board (TCEB) Ejaz Ahmed Khan. The ceremony was also attended by other shareholders which included Thal Limited and Habib Bank Limited.
At the occasion, Shamsuddin A.Shaikh and Zhang Chun briefed the Pakistan delegation on the progress being made on the project for both mining and power.
Mr. Chun on welcoming the delegation said that CMEC is a pioneer in developing power projects in Pakistan and we see Thar project to be the key to solving future energy crises in Pakistan.
State for Foreign Affairs, Syed Tariq Fatemi further explained the key milestones achieved in Thar and said the joint venture between the two companies shows our resolve and commitment to see this project completed by 2017.
“We have successfully achieved all milestones and are now actively working together to solve Chinese financing issues,” he added.
He appreciated the efforts both companies have put in and said this is a landmark occasion which highlights corporation between the two countries and shows the resolve to solve the energy crises which Pakistan is facing.
This is the first tangible fruit out of the China Pakistan Economic Corridor.