Web Exclusive | November 2012
Tata Power picks up stake in Indonesian miner
In order to have assured fuel supply for its imported coal-based thermal power stations, Tata Power acquired a 26 percent stake in Indonesian mine owner PT Baramulti Suksessarana Tbk (BSSR).
It is learnt that Tata Power has bought the stake during the book-building exercise when BSSR came out with an IPO.
Tata Power bought 30 percent stake in two coal companies owned by Indonesia’s Bumi Resources five years ago.
Some analysts feel that Tata Power’s current requirement for imported coal is much less than the reserves it holds in the Indonesian mines in proportion to its stakes in them.
Recently, Anil Sardana, Managing Director of Tata Power said the firm would consume 10 mn t fuel by the end of this fiscal and will look to securitise 50 mn t by 2020.