Thermal Powertech Corporation India Ltd has signed an agreement with PT Bayan Resources Tbk (Bayan) for the supply of approximately 1 million tonnes per year of coal over 10 years. The contract, which is for an aggregate of 10 million tonnes of coal, is expected to commence in 2014. TPCIL is a joint venture between Sembcorp and Gayatri Projects. Sembcorp holds 51 per cent equity in TPCIL through its wholly-owned subsidiary Sembcorp Utilities while Gayatri Ventures holds 49 per cent.

With plant construction progressing on track at the project site in Krishnapatnam in Andhra Pradesh's SPSR Nellore District, this coal agreement marks yet another significant milestone for Sembcorp's first Indian power plant project, a 1,320-mw coal-fired power plant based on supercritical technology being built with an investment of Rs.6,869 crore.

Bayan, according to a release by Sembcorp, is the sixth largest producer and exporter of thermal coal in Indonesia. IT owns and operates the Balikpapan Coal Terminal, one of the largest coal terminals in East Kalimantan with a handling throughput capacity of 15 million tonnes per year.