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TotalFina not in fray for DPC, says lenders not serious

In an interesting turn of events, French energy major TotalFinaElf said on Tuesday that it is neither in fray for acquisition of 65 per cent foreign equity in Dabhol Power Company nor has it initiated formal talks with the IDBI-led financial institutions.

"TotalFina cannot be put on the list of DPC's potential bidders. We are not signing the confidentiality agreement nor even participating in the due diligence process," TotalFinaElf chief executive (India) Jean Claude Breton said in Mumbai.

Breton said in his meeting with the IDBI top brass and representatives of the Overseas Private Investment Corporation, he was merely trying to understand, discuss and gather information whether the idle 2,184-mw project could be made commercially viable.

"In fact, we have also spoken to top officials of the Maharashtra State Electricity Board to understand their point of view and comments on the project," he added.

The energy major also seemed to be uncomfortable with the watertight schedule set up by lenders right from signing the agreement to the proposed final bids.

"As far as TotalFina is concerned, by drawing such a tight schedule, the lenders are projecting a non-serious image of themselves as if they want to finish the deal without giving room for the concerns of prospective bidders," Breton expressed.

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