|ONGC and NEEPCO sign agreement on gas supply|
26 March, 2008
The Oil and Natural Gas Corporation Ltd (ONGC) and North Eastern Electric Power Corporation Ltd (NEEPCO), a Government of India Enterprise, signed a 'Term Sheet' which is a precursor to signing a contract for supply of 0.5 MMSCMD (million standard cubic metres of gas per day) from future exploratory efforts of ONGC's to NEEPCO's power generation plant at Monarchak in West Tripura. NEEPCO plans to produce 104 MW of power by end 2010.
Mr.N.K.Mitra, Director (Offshore) of ONGC who is also incharge of Marketing signed the 'Term Sheet' on behalf of ONGC and Mr.M.R.Ghosh, Director (Finance) on behalf of NEEPCO.
After signing of this Sheet there is a 45 day period before a formal contract is signed, but NEEPCO indicated that it is interested in hastening the process much before the due date.
Tripura is energized by three thermal and one hydel power stations. But NEEPCO gas based power stations are vital for meeting the growing energy demands of the hilly state.