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India's KGPL to Begin Construction for 820-Megawatt Expansion Project in Devarapalle by March 2011 DELHI, INDIA--February 7, 2011--Researched by Industrial Info Resources (Sugar Land, Texas)--Konaseema Gas Power Limited (KGPL) (Hyderabad, India), which recently commissioned a 445-megawatt (MW) plant, is planning to add an 820-MW power plant consisting of two combined-cycle modules, each of 410-MW capacities, at Devarapalle, in the East Godavari district of Andhra Pradesh. With the advent of gas discoveries in the Krishna-Godavari (KG) Basin, Andhra Pradesh is poised to become the seat of gas-based power projects in India. It also is witnessing a spate of new gas-fired projects, both in the private and public sectors. KGPL generates natural gas-based power in Andhra Pradesh. It formerly was known as Konaseema EPS Oakwell Power Limited. The company was incorporated in 1997 and operates as a subsidiary of Vizag Bottling Company. KGPL is implementing this project to take advantage of infrastructure, which is already in place. The total cost of the project comes to about $700 million. Power Finance Corporation Limited (BSE:532810) (PFC) and Rural Electrification Corporation Limited (BSE:532955) (REC) have issued a letter of intent to Konaseema Gas Power Limited to finance its expansion project. Despite the progress made on the expansion project, the unavailability of gas has hampered operations at KGPL's existing 445-MW plant; so for this project, KGPL has entered into an agreement with Reliance Industries Limited (BSE:500325) (RIL) for the supply of natural gas. The plant's machinery is being supplied by Siemens AG (NYSE:SI) (Munich, Germany) and Skoda Power (Plzen, Czech Republic), and the EPC contract is being given to Leighton International, a subsidiary of Australia's Leighton Group, one of the world's largest project development and contracting groups. The project is expected to be completed by 2013. View Project Report - 300026610 Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. IIR's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.

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