Reborn Capital Empire

Chapter 353 The Dabor Project

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"Investment in Shahabad Hydropower Station?"

"Yes, Shahabad is a village on the upper reaches of the Krishna River in Maharashtra, and it has the conditions for hydroelectric power generation. It’s cheap, so the Maharashtra State Electricity Board wants to build a 600-megawatt power plant here.”

"Why us?" Guo Shouyun said after some thought.

"Maharashtra has always wanted to attract foreign investment, and the 'nationalist front coalition', which currently holds power within the gang, also wants to win the next general election through economic development. Therefore, the Fortune 500 Anping company has become their first choice! Moreover, we also have the Dabor project, the two sides can reach an agreement on this.”

"Dabor project? If this Shahabad is the next Dabor, won't we be trapped again?" Guo Shouyun said sarcastically.

"They have given guarantees. Of course, as an Indian, I know that these guarantees are not very binding. But boss, the Indian market is so big, if we give up opportunities because we are afraid of unknown difficulties, I am afraid it is difficult to have them here. What you did." Shahrukh said sincerely.

After a long silence, Guo Shouyun nodded.

"How much is the total investment in this project?"

"$4.5 billion!"

"The project can be done, but there are two preconditions. First, the land acquisition for the power plant must come from the Maharashtra government, and we will buy the land from them."

The biggest difficulty with any Indian engineering project is land acquisition. If they were asked to do it, they would undoubtedly conflict with the local villagers. This kind of conflict can easily be magnified by people with a heart and become evidence of criticism from opponents. Guo Shouyun did not want to do it again after the losses suffered by the Dabor project.

"Second, we must be solely responsible for project investment and construction, and no one can interfere."

The sooner the completion is completed, the profit can be realized in advance. If the Indians are involved, the low efficiency will not only bring about financial losses, but also drive people crazy.

"Okay, I took note!"

"Can foreign capital be involved in power transmission and distribution now?" Guo Shouyun asked instead.

"No. This part is still under the responsibility of the Maharashtra Electricity Commission. The price of electricity in India is very low, and the government will provide a subsidy of 30 per kilowatt-hour of electricity. They will not give this opportunity to foreign capital!"

Guo Shouyun knew it in his heart, "Go back to Dabor. With the current electricity price of 35 rupees in India, minus the 10 rebate, how long will it take for the Dabor project to recover the cost?"

"The Dabor project has only completed one phase so far, with a power generation capacity of 7 million megawatts and a total investment of US$1.1 billion. The cost of later maintenance and modification is US$2.8 billion. According to the profit margin of Indian power generation companies 7~12, it requires at least 30 It takes years to recover the cost.”

"Thirty years!" Even though Guo Shouyun was prepared, he was still shocked by this number.

"Boss, this is only an approximate estimate. In fact, we can also increase returns through capital operation. In addition, if India's power transmission conditions and electricity consumption environment improve, our rate of return will also increase!" Shah Rukh said quickly.

He is an Indian and also hopes that foreign capital investment will promote the development of the country. Therefore, I don't want to really scare Guo Shouyun away.

Of course, Guo Shouyun was not so easily frightened away. He just lamented that the profit of India's domestic power generation industry is too low. Not to mention that the Electricity Commission openly wants rebates, there is still 20% loss in the transmission link, which is the highest in the world. Plus, blatant theft of electricity nationwide!

So much so that he often wonders, is it a mistake to enter the Indian market by himself? But thinking about Dabol's billion-dollar investment, if you just give up, the loss is too great. So, the idea of ​​perseverance prevailed again.

"Thirty years is thirty years, as long as the cost can be recovered. The right is to open up the market!" Guo Shouyun waved his hand, "Shahrukh, you are the president of South Asia and the Middle East. In addition to the Indian project, you also Are there any other projects?"

"Yes! Anping Gas and Oil Company is preparing to build a petrochemical plant with an annual processing capacity of 3 million tons in Dammam with Saudi Aramco. In addition, we are also involved in the construction of two thermal power plants in Oman and Yemen. There are two thermal power plants in Funna and Khulna in Bangladesh, as well as the 10 million cubic meter natural gas storage project rebuilt using the natural gas pipeline of the Dabor project. Throughout the Middle East and South Asia, Anping Company has 7 projects under construction. project, with a total investment of $2.7 billion. … These are the details of the project.”

Shahrukh took out a stack of documents from the safe and put it in front of Guo Shouyun.

After a brief look, he handed the information to Rebecca next to him.

"I'll take it back to see. By the way, how far is it from Dabor?"

“100 miles from Mumbai!”

Guo Shouyun looked at the time, "Go, show me!"

Shahrukh naturally did not dare to refuse the big boss's request. After explaining the company's affairs, he drove Guo Shouyun and Rebecca to the destination.

100 miles, 160 kilometers, or about an hour's drive for countries with good road conditions. But in India, there are only two lanes, and you have to avoid animals that may cross the road at any time, and you can't pick up the speed at all. The group set off at 10 in the morning, and it was noon when they arrived at the place.

"Boss, it's lunch time, I'll prepare it for you...!"

After waving his hand to interrupt Shahrukh, "No need, I brought some fast food in the car, I can eat it later when I'm hungry, let's go!"

Out of anxiety about Indian food, Rebecca deliberately prepared noodles, biscuits and mineral water when she went out. Didn't expect it to work now.

"That's Dabor!"

Looking at the red rocky mountain in the distance, standing on the cliff, Guo Shouyun couldn't help asking.

"Yes! That's Dabor!" Shahrukh nodded.

"Rebecca, how did you choose this place in the first place?"

Although facing the sea and backed by green mountains, the scenery is good. But this place is too remote. For this power plant, Enron built a two-lane road from Mumbai to it, as well as the post office, dormitory and restaurant of the attached power plant.

"The main reason is that although it looks a bit desolate, the place is big enough. Moreover, the power plant faces a cliff and has good port conditions. Natural gas ships from the sea can directly transport gas, and there is no need to build a special wharf, which saves costs. In addition, the population in remote areas is small, which reduces the trouble caused by land acquisition and facilitates the construction of power plants as soon as possible.”

After nodding knowingly, Guo Shouyun raised his feet and walked towards the factory. With Shah Rukh around, everything will naturally flow unimpeded. After walking around the factory area, he looked down at the factory area on the right under construction, "Is that a natural gas reserve area?"

"No, that's the second phase of the Dabor project. The natural gas reserve is five kilometers from here."

"Have you found a natural gas user?"

"It has been found, and we have signed a gas supply contract with Tata Group. In addition, we will try our best to expand the civilian market, and strive to establish a natural gas that can involve major cities in Maharashtra and Gujarat within three to five years. retail network."

Guo Shouyun nodded, "The plan is very good. But as far as I know, the price of natural gas in India is regulated by the government, and now it is 42 US dollars per million British thermal units. Compared with the international consumer market, this price is relatively low. In addition, India's natural gas pipeline is only 130,000 kilometers, and it is controlled by the National Gas Administration. Combined with India's consumption capacity, are you sure that it is profitable to start a natural gas sales business here?"

"Boss, it seems that you still don't understand India. There is nothing that money can't do here."

"Oh?"

"The weakness of democracy is that capital manipulates the political situation, which is especially serious in India, where the judicial system is not perfect. We can break through from here. Moreover, there are many local capital giants in India who are as greedy as we are in the oil and gas market. We can unite them. And appropriate distribution of benefits, I believe many people will be willing."

"Looks like you had a plan!" Guo Shouyun said thoughtfully.

"That's right. India's market is too closed. It takes external forces to break this closure before the country can really develop."

"Shahrukh, can't you see that you are quite patriotic?"

"Boss, the interests of patriotism and the group do not conflict!"

"Of course! I will not interfere with your personal feelings, but the interests of the group must be guaranteed. Otherwise, I will not condone you."

"Understood! Rest assured, I will do my best to facilitate the group's expansion in India, South Asia and the Middle East."

"Then I'll wait to see your results!"

Guo Shouyun returned to the hotel where he stayed after spending a day browsing the entire Dabor project. For the next week, he went back and forth between the company and Dabor to do research~www.wuxiaspot.com~ Of course, in addition to the company's affairs, he also paid less attention to the Indian society.

After accumulating enough information, Rebecca sent an invitation to meet with Tata Group.

The meeting place was not elsewhere, but at the Dabor Steel Works where the two sides cooperated.

"Mr. Guo, I have long admired the name, welcome to India!"

"Mr. Tata is welcome!"

When the two sides shook hands with each other, their scrutiny eyes did not stop.

Compared to Guo Shouyun's youth, the sixty-seven-year-old Ratan Tata looks very old. However, even so, no one will despise the 50-year-old who controls Tata. In more than ten years, this company that has gone downhill has re-emerged, and through active international expansion, he has become the head of India's first consortium. .

The same psychology applies to Ratan Tata at the moment. Although the person standing in front of him is very young, the other party's brilliant achievements are not inferior to him, or even surpassed.

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