RGPPL working on a new business plan for Dabhol LNG terminal

Ratnagiri Gas and Power Private Limited (RGPPL) is working on a new business plan for its Dabhol LNG terminal to make it an all-weather port that will bring in more LNG cargo. RGPPL is owned by NTPC Limited and GAIL (India) Limited with both holding a 25.51 per cent stake each, while financial institutions hold 35.47 per cent and the Maharashtra State Electricity Board holds 13.51 per cent. RGPPL plans to build a breakwater facility at a cost of Rs 8 billion, and is currently demerging its power and LNG businesses into separate entities. The company has decided that after the demerger, it will have a separate business plan for the LNG terminal, which will help it find financiers for the breakwater facility and infuse fresh equity. RGPPL has decided that equity and debt for the breakwater facility will be in the ratio of 1:1. An amount of Rs 4 billion will be raised through loans from existing lenders and the balance Rs 4 billion will be shared between NTPC and GAIL. RGPPL has signed on GAIL as a consultant for the breakwater facility, which will take around three years to build. The tendering process is on and will be finalised in three months.