Kolkata-based Shree Cement has announced that it has entered into commercial power business and will soon make an investment of Rs 1,200 crore in the coming two fiscals with the aim to install 300 Mega Watt thermal power facility in Rajasthan.

As per official sources, the company has decided to award the contract in order to build up the power plant. The company is presently having final talks with four firms - one each from the US and China and two domestic entities.

Shree Cement representatives stated in a communiqué that the investment for the project will be funded through mix of internal accruals and debt. While Rs 800 crore will be used from company's own resources, about Rs 400 crore will raised from lenders.

In separate release, the company has informed that the proposed unit, which is likely to go on stream within coming two fiscals, would be a thermal power facility and coal for the purpose would be fully imported.