Reliance Power Netherlands BV, a wholly owned subsidiary of Indian power producer Reliance Power Ltd., has won an international arbitration award of US$56 Million against Prestige Capital Holdings Ltd, a Seychelles based Company and Kokos Jiang, the owner of Sugico Group in Indonesia.
The contractual dispute is in relation to issues faced over starting operations in three coal mining concessions in Indonesia that Reliance Power had acquired in 2010.
Reliance Power had acquired the entire economic interest in three coal mining concessions owned by Sugico Group in 2010. These mining concessions have total coal resources of around 1.5 billion tonnes of coal with potential to produce up to 30 million tonnes of coal per annum.