Vol. 5 Num 1122 Fri. July 27, 2007  

$2.9b Investment Plan in Bangladesh
Mittal hopes to end formalities by 2008

Even as the three billion investment proposal awaits the nod of Bangladesh government, India's Mittal Group, promoted by P K Mittal and V K Mittal, has said it is confident of completing formalities within this fiscal for 2.9 billion dollar investment plan in that country's energy sector.

"We are confident and will make all efforts to complete the formalities for definitive investment in Bangladesh within this year", said Mittal Group Chairman P K Mittal.

Global Oil and Energy Limited, a subsidiary of the Mittal Group, had last month signed a memorandum of understanding with the Board of Investment of Bangladesh to invest 2.9 billion dollars there, the second largest FDI after the Tata Group's investment offer which has been hanging fire for the last three years.

The Global Oil proposes to invest 1.5 billion dollars in petrochemical sector, 50 million dollars in power generation, 300 million dollars in coalmine development, 100 million dollars in oil exploration and production and 50 million dollars in natural gas or liquefied natural gas production and other infrastructure.

Global Oil Managing Director Vinod K Mittal told reporters in Kolkata on Wednesday that the company would launch a feasibility study within three months to make the investment proposal materialised.

As per the MoU, the Bangladesh investment board would facilitate the necessary feasibility survey for the projects.