ThalNova power station

From Global Energy Monitor
This article is part of the CoalSwarm coverage of Pakistan and coal.
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ThalNova power station is a proposed coal plant in Pakistan.

It is also known as unit 4 of the Thar Block II power station (also known as Thar Engro).

Location

The map below shows the location of the plant near Thar Block-II mine in Sindh province.

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Background

Blocks in Thar coal field. Photo: Oracle Coalfields

The Thar Energy Limited power station and the ThalNova power station were formerly the second phase of the Thar Block II power station, but have become spun off into two separate projects, with separate ownership.

Since at least 2016, ThalNova — which began as a joint venture of Thal Limited and Novatex — has been planning to build a fourth 330-MW coal-fired generating unit at the Thar Block II mine.[1] In February 2017, the National Electric Power Regulatory Authority granted a generation license to the project.[2] In April 2017, ThalNova signed an engineering, procurement, & construction (EPC) contract with China Machinery Engineering Corporation.[3]

By December 2018, after several shifts in ownership stakes, ThalNova was owned by Hub Power Company (Hubco) (37%), Thal Limited (31.5%), China Machinery Engineering Corporation (10%), and Descon Engineering Limited (1%); it is unclear who owns the remaining 20.5%.[4] In April 2019, ThalNova signed loan agreements with China Development Bank, China Minsheng Bank, China Zheshang Bank, and Habib Bank for the plant's construction.[5]

In May 2019, the provincial Chief Minister directed Sindh Engro Coal Mining Company, the company operating the Thar Block II coal mine, to expand production in order to produce enough coal to feed the Thar Energy Limited and ThalNova power stations.[6]

In July 2019, it was reported that the Private Power Infrastructure Board had deferred the deadline for finalizing financial support for the proposed plant until March 2021,[7] with commissioning expected by 2022.[8]

In January 2020, Chinese company Sino Sindh Resources said it had reached financial close on the project.[9]

In September 2020, a financing agreement for the project was closed. US$373 million in loans was provided by the China Development Bank, other Chinese banks, Habib Bank, and other Pakistani banks. US$124 million in equity was provided by Hub Power, Thal Limited, Novatex, China Machinery Engineering Corporation (CMEC), and Descon.[10]

According to the Pakistan government, the plant is under construction.[11]

Project Details

  • Sponsor (Phase I): ThalNova Power (Private) Limited
  • Parent company (Phase I): Hub Power Company (Hubco) (37%), Thal Limited (31.5%), China Machinery Engineering Corporation (10%), Descon Engineering Limited (1%)
  • Location: Thar Block-II, southeast of Singhara in Thatta district, Sindh province
  • Coordinates: 24.8154559, 70.3883694 (exact)
  • Status: Construction
  • Gross Capacity: 330 MW
  • Type: Circulating fluidized bed
  • Projected in service: 2022
  • Coal Type: Lignite
  • Coal Source: Thar Block II
  • Source of financing: US$373 million in debt from the China Development Bank, other Chinese banks, Habib Bank, and other Pakistani banks; US$124 million in equity from Hub Power, Thal Limited, Novatex, China Machinery Engineering Corporation (CMEC), and Descon[10]

Articles and resources

References

  1. ThalNova plans power plant, The News, 7 Oct. 2016.
  2. Thalnova Power Thar awarded power generation licence, Express Tribune, 2 Feb. 2017.
  3. Thal Power to invest $ 58.7 million in ThalNova, Mettis Global, 12 Apr. 2018.
  4. Hubco Completes Acquisition of 37 Percent Stakes of ThalNova Power, ProPakistani.pk, 10 Dec. 2018.
  5. CMEC cooperates with Pakistani companies, Sinomach press release, 8 May 2019.
  6. Hubco to set up two power projects in Thar, Express Tribune, 7 May 2019.
  7. Faizan Hashmi, "PPIB Extends Financial Closing Deadlines Of Azad Pattan, Thar Coal Projects," Urdu Point, 15 July 2019
  8. "Growth Aspirations," Hubco, accessed December 2019
  9. "Financial close achieved for 1,980MW Sindh power plants". DAWN. 2020-01-02. Retrieved 2020-06-10.
  10. 10.0 10.1 "Preview of Thar Block-II ThalNova Coal-Fired Plant (330MW) IPP | Transaction | IJGlobal". ijglobal.com. Retrieved 2020-11-19.
  11. Upcoming IPPs, Pakistan government, updated Oct 1, 2020

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