SJVN surges as its arm signs MoU with AM Green Ammonia

SJVN is currently trading at Rs. 132.15, up by 2.60 points or 2.01% from its previous closing of Rs. 129.55 on the BSE.

The scrip opened at Rs. 131.95 and has touched a high and low of Rs. 133.35 and Rs. 131.00 respectively. So far 134604 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 170.45 on 05-Feb-2024 and a 52 week low of Rs. 40.26 on 28-Jun-2023.

Last one week high and low of the scrip stood at Rs. 134.15 and Rs. 128.35 respectively. The current market cap of the company is Rs. 50910.50 crore.

The promoters holding in the company stood at 81.85%, while Institutions and Non-Institutions held 5.71% and 12.44% respectively.

SJVN’s wholly owned subsidiary--SJVN Green Energy (SGEL) has signed a Memorandum of Understanding (MoU) with AM Green Ammonia (India). The AM Ammonia (India), a company under Greenko Group is developing one of the world’s largest Green Ammonia Platforms at Kakinada, Andhra Pradesh. The platforms shall be developed in two phases starting with a capacity of one million tons per annum (MTPA) and ramping capacity to five million tons per annum by 2030 – equivalent of one million tonnes per annum of hydrogen. Under this MoU, the parties have agreed to cooperate with each other for supply/ sourcing of renewable energy on long term basis for these Green Ammonia Plants on a mutually agreed terms and conditions.

SGEL will explore setting-up of 4,500 MW renewable energy projects in India including 2500 – 3000 MW of Solar Projects and 1500 – 2000 MW of Wind Projects over three phases which shall ensure a supply of about 11,500 million units on annual basis. SGEL and AM Ammonia have agreed to explore innovative commercial framework to ensure competitive tariff and adequate returns to SGEL including offering dollar denominated tariff. It has been agreed that the parties shall enter into a definitive agreement shortly so as to formalize the further course of action. SGEL is currently handling a RE Portfolio of about 7.2 GW under various stages of development i.e. Operation, Construction & Pre Construction. This MoU paves way towards SGEL’s first venture into Commercial & Industrial Segment.

SJVN’s principal business activity is electricity generation. The company is also engaged in the business of providing consultancy.