Kathmandu: Tehrathum Power Company Limited has decided to acquire 100,000 shares of Lalupate Hydropower Company Limited at a face value of Rs 100 per share, investing a total of Rs 10 million from its investable balance.
The decision was approved at a meeting of the company’s board of directors held on 26 December.
Lalupate Hydropower Company Limited is currently developing the 49.95 MW Dana Khola Hydropower Project in Manang. The project is scheduled to begin electricity generation on 22 October. According to the company, the investment decision was made in view of the satisfactory progress of construction and the project’s sound cost structure.
The total estimated cost of the project stands at Rs 9.96 billion. Of this amount, Rs 7.47 billion will be financed through loans from banks and financial institutions, while the remaining Rs 2.49 billion will be raised through equity.
A power purchase agreement (PPA) has been signed with the Nepal Electricity Authority (NEA) for the sale of electricity generated by the project. Under the agreement, the NEA will purchase power at Rs 8.40 per unit during the winter season and Rs 4.80 per unit during the rainy season.
The project is located in Naso Rural Municipality of Manang district. Electricity generated from the project will be transmitted to the NEA’s Dharapani Substation in Manang via a 220 kV transmission line spanning approximately 3.5 kilometers.
Urjasanchar
