JSW Neo Energy Limited (JSWNEL), a wholly owned subsidiary of JSW Energy Limited, has executed a shareholders’ agreement with Druk Green Power Corporation Limited (DGPC), a wholly owned subsidiary of Druk Holding & Investments – the commercial arm of the Royal Government of Bhutan. The agreement has been signed for the joint development of the 920 MW Punatsangchhu-III hydroelectric project on the Punatsangchhu River in Wangdue Phodrang district, Bhutan.
The project will be developed on a build, own, operate and transfer basis through a special purpose joint venture (JV) company proposed to be incorporated in Bhutan. DGPC and JSWNEL will hold 51 per cent and 49 per cent equity, respectively, in the JV company. The project marks JSW Energy’s first power generation venture outside India.