REC, Damodar Valley Corporation Sign Agreements For Tubed Coal Mines Development

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REC Ltd., a Maharatna central public sector enterprise, has signed agreements worth Rs 588 crore with the Damodar Valley Corporation to strengthen infrastructure and energy projects in the region. The agreements aim to strengthen their cooperation for the development of tubed coal mines and include a term loan agreement, an escrow agreement and hypothecation deeds.

The agreement was signed by Santosh Kumar Sahu, senior chief project manager, REC regional office, Kolkata and Durgesh Maity, senior general manager (finance), DVC. The signing took place in the presence of S. Suresh Kumar, chairman and managing director, DVC, along with members of DVC’s technical, finance and administrative teams.

The agreements underscore the collaborative efforts of both organisations in promoting sustainable development and leveraging resources for the greater benefit of the community. REC and DVC said that they remain steadfast in their dedication to fostering innovation, efficiency and excellence in the energy sector, driving positive change and prosperity for all stakeholders involved.

REC is a Maharatna CPSE under the Ministry of Power and is registered with the Reserve Bank of India as a non-banking finance company and infrastructure financing company. REC finances the power infrastructure sector comprising generation, transmission, distribution, renewable energy and new technologies like electric vehicles, battery storage, pumped storage projects, green hydrogen and green ammonia projects.

Recently, REC has also diversified into the non-power infrastructure sector comprising roads and expressways, metro rail, airports, IT communication, social and commercial infrastructure (educational institutions, hospitals), ports and electro-mechanical works in various other sectors like steel and refineries. The loan book of REC stands at Rs 4.97 lakh crore at the end of 2023.