RAIN Calcinating Project

Active

Prospective

GVK Reddy Group and Houston Industries Energy (HIE) are the primary developers of this $94 million, 49-MW, cogeneration plant. The plant will be fueled by recovered gases from calcinated petroleum coke, a processed aluminum smelting by-product. At full production, the plant is projected to sell 44-MW of its output to nearby industrial companies under a wheeling agreement with the Andhra Pradesh State Electricty Board. It will also export 11-MW, primarily to Persian Gulf aluminum producers and use 5-MW internally. The wheeling agreement gives APSEB the right to choose and change customers. Two cement companies have committed to purchase 13-MW. The APSEB is obligated to purchase any electricity that the project can sell. The project will be owned by the developer in perpetuity. The International Finance Corporation (IFC) has $5.4 million stake in the project. The IFC approved this equity position in its 1995 fiscal year. At the same time, it approved an $18.3 million direct loan and an US$ 1 million standby loan. In 1998, the IFC approved an additional US$ 0.84 million in equity investment. Applied Industrial Materials Corp. (AIMCOR), a supplier of coke products, has a 5% stake and the remaining 35% of equity finance will be raised through an Initial Public Offering. Financial closure was reached on June 13, 1995. None None

Energy

High

World Bank Group

Project

Metal, Manufacturing (Industrial), Oil and Gas, Power Generation (CCGT), Steel, Commercial, Government