Islamabad November 4, 2022: Lucky Electric Power Company Limited successfully issues Rated, Privately Placed Commercial Paper of PKR 6,000 million, according to information provided by the company.
The Bank of Punjab and Arif Habib Limited acted as ‘Mandated Lead Advisors and Arrangers’ for the Commercial Paper. In addition, The Bank of Punjab also acted as Issuing & Paying Agent.
Lucky Electric Power Company is a wholly owned subsidiary of Lucky Cement Limited. The Company is in the production of a 660 MW coal-fired power plant with ultra super critical technology located in Deh Ghangiaro, Bin Qasim, Karachi.
The Company has successfully achieved its Commercial Operation Date on dated 21st March 2022. The plant is connected to the national grid.
The primary fuel is Coal; a coal supply agreement is signed with Sindh Engro Coal Mining Company (SECMC), SECMC will provide the coal from its developing Block-II (Phase III). The Company has also signed imported coal supply agreements with reputable coal suppliers. Currently, the plant is generating electricity through imported coal.
Prior to this, the Company procured short-term financing facilities aggregating to PKR 46.5 billion for operational needs. The offtake agreement is with CPPA-G, which will, upon the plant’s availability as per the contract, provide capacity payments even if no purchase order is placed. The Government of Pakistan has given a payment guarantee against dues from CPPA-G.
On July 27, 2019, the Boards of Directors of the Lucky Cement Limited (Formerly Ultimate Holding Company) and the LCL Holding Company (Formerly Holding Company) resolved to amalgamate the LCL Holding Company into Lucky Cement Limited. The legal formalities relating to the amalgamation have been completed on March 30, 2020, and amalgamation has taken effect on July 01, 2019.
