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GMR to divest 30% stake in GMR Energy (Singapore)

27 Sep 2011 Evaluate

GMR has agreed to sell a 30% stake in GMR Energy (Singapore) (GMRE) to PETRONAS International Corporation (PICO), a wholly-owned subsidiary of PETRONAS, subject to approval of lenders.

GMRE is developing an 800 MW Combined Cycle Gas Turbine (CCGT) Power Plant on Jurong Island, Singapore. The power generating facilities, featuring Siemens' latest F-class gas turbines, will be designed and constructed by a consortium consisting of Siemens and Samsung. Fuelled by re-gasified LNG, the power plant is scheduled for commercial operations in 2013. GMR Supply Singapore, a wholly owned subsidiary of GMRE, holding an electricity retail license in Singapore, will manage the electricity retail business.

PETRONAS is one of the largest groups in South East Asia with substantial resources in Oil and Gas. This relationship would pave the way for other possible opportunities between the groups in India as well as internationally.

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