Neyveli Lignite Corporation Stock Price, Charts

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Neyveli Lignite Corporation, a public sector company, was incorporated in 1956 by the government of India as a private limited company. The company undertakes mining and processing of lignite, generation and distribution of power and manufacture of fertiliser, chemicals. It generates power by using lignite as fuel. The corporation`s main products are lignite, electric power, urea, leco, coke fines, nekolin and pulverised nekolin. The group owns three opencast lignite mines and two thermal power stations. The user sectors of the company are essentialy the power sector and agriculture. The company`s main customers are the state electricity boards (SEBs). It caters mostly to the five southern states of India viz. TN, AP, Kerala, Karnataka and Pondichery. The Tamil Nadu Electricity Board has a JV with the Neyveli Lignite Corporation (NLC) for two projects. A 1,000-MW coal-based project at Tuticorin in south Tamil Nadu at a cost of 40,000 million and the Jayamkondam lignite power project at a cost of Rs 5,0000 million for a 1,000-MW power plant. In 2006, the union government accorded approval for expansion of capacity of the company`s Mine-II from 10.5 MTPA to 15 MTPA and expansion of capacity of TPS-II from 1470 MW to 1970 MW at an aggregate capital cost of Rs 41,920.60 million. The government has also accorded approval for the lignite mine (2.1 MTPA) linked to thermal power station of 250 MW at Barsingsar in the state of Rajasthan at an aggregate cost of Rs 13,682.50 million. The above projects are expected to be commissioned in 2008. On completion of the above projects, the company`s mining and power generating capacities will be 30.6 million tpa and 3240 megawatt, respectively. The company has also planned to develop clean coal technologies like extraction of coal bed methane (CBM) and Underground coal gasification for which several steps have been taken.