India?s Patel Engineering close to buy Indonesian mine

Indian construction firm Patel Engineering (PEL) is close to acquiring a mid-sized coal mine in Indonesia for Rs 100 crore. The mine will be used for PEL?s proposed 1,200-mw power plant in Gujarat, The Economic Times of India reported.

PEL?s managing director Rupen Patel said: ?We have identified a few coal mines in Indonesia as buyout targets. Out of it, we will be acquiring one very soon.? PEL?s target mine in Indonesia is owned by a local individual with a 100 million ton coal reserve, he added.

PEL?s thermal power plant is coming up in Bhavnagar in Gujarat with a proposed investment of Rs 5,000 crore. The project will be undertaken under a special purpose vehicle (SPV) and funded through a mix of debt and equity.(*)