Mumbai, Sept. 26: GMR Infrastructure will sell a 30 per cent stake in its Singapore-based subsidiary GMR Energy to Malaysian oil and gas major Petronas for an undisclosed amount.
The stake in GMR Energy (Singapore) Pte Ltd would be sold to Petronas International Corp, a wholly owned subsidiary of Petronas. However, the financial details were not disclosed. The sale is subject to approval from lenders.
GMR Energy is developing an 800MW combined-cycle gas turbine power plant on Jurong Island in Singapore, GMR Infrastructure said in a statement.
A consortium of Siemens and Samsung is building the power generating facility.
This relationship between GMR and Petronas opens up powerful synergy going forward for both the groups. It is symbolic of true South-South co-operation and its immense potential in the energy market in the region, GMR group chairman G.M. Rao said.
Fuelled by re-gassified LNG, the power plant is scheduled for commercial operations in 2013, it said.
This acquisition marks Petronas groups maiden foray into the international power market and is a major step in its effort to extend its existing integrated presence further along the energy value chain, Petronas executive vice-president Datuk Anuar Ahmad (gas and power business) said.
GMR Supply Singapore Pte, a wholly owned subsidiary of GMR Energy, that holds an electricity retail licence in Singapore would manage the electricity retail business.