Butwal Power Company partners with 3 Chinese firms for hydropower development in Nepal

Butwal Power Company Limited (BPCL) has announced partnership with three Chinese companies for hydropower development in Nepal. As per the notice published in Nepal Stock Exchange today, Butwal Power Company has established International Nepal Hydro Joint Development Company Private Limited with the investment of Nrs 1 arba 90 crore in the joint coordination of three major companies from China. The company further aims to develop hydro power sector in the country. 20 percent of the shares of the new company will be held by BPCL, 51 percent by Sichuan Investment Group Company Limited (SCIG), 17 percent by Chengdu Xingcheng Investment Group Company Limited (CXIG) and 12 percent of shares will be held by Qingyuan Engineering Consultant Company Limited (QYEC). BPCL is a leading hydropower company in Nepal involved in generation, transmission, and distribution of electricity. It has a combined operating capacity of 17.1 MW through its two plants in Jhimruk (12MW) and Andhikhola (5.1 MW) in western Nepal. Butwal Power Company will also be issuing FPO of 4,081,000 units at Rs. 518 per unit share. BPCL aims to use the amount collected from the FPO to develop 37.6 MW Kabeli-A Hydropower Project and 30 MW Ngadi Hydropower project. BPCL has 54% stake in Kabeli Energy Limited and 97% stake in Ngadi Hydropower Project. BPCL has earned net profit of Rs 7.22 crore in the first quarter of the fiscal year 2074/75. The FPO shares is under review process in Securities Board of Nepal (SEBON). Its paid up capital will reach Rs 2.21 arba and its reserve will grow by Rs 1.70 arba. Its Last Traded Price (LTP) stands at Rs 650 as of November 11, 2017.