R-Power ties up with RWE Power for coal extraction

R-Power ties up with RWE Power for coal extractionReliance Power led by Anil Ambani has entered into an agreement with Germany’s RWE Power International for technical assistance in extracting coal from its captive mines of the Tilaiya ultra-mega power project in Jharkhand.

RWE Power is the biggest coal miner in Germany and is among the biggest energy utility companies in the whole of Europe. RWE will assist the Indian company in designing and planning engineering aspects for its captive mine and will also help in acquiring equipment.

The German firm will also allow Reliance Power to ensure the quality in the project through quality control. The authorities have allotted Kerendari B and C coal blocks of North Karanpura coal fields in Jharkhand to the company to enable it to meet the fuel requirements of the Tilaiya project. These mines are estimated to have reserve of over 1 billion tonne of the fuel. The company is aiming to produce as much as 40 million tonnes of coal per year from the project.

According to some reports, Reliance Power, Jharkhand Integrated Power Ltd (JIPL) and RWE Power International have agreed upon a tripartite Memorandum of Understanding (MoU) for technical assistance from technical assistance from the German firm in the project.