Mumbai: NTPC Ltd, the country's largest power producer, today said it will set up a geo-thermal based power project in Chhattisgarh in association with National Geo-physical Research Institute.

In a filing with the Bombay Stock Exchange, the company said it has signed a memorandum of understanding with Hyderabad-based NGRI for identifying potential sites to set up geo-thermal based power projects in India.

"Both the organisations have agreed to associate for formulating a long-term strategy to set up the first geo-thermal based power project in India," the company said.

Tattapani in the state of Chhattisgarh has been identified as the first project site, it added. Shares of NTPC closed at Rs 197,down 3.55 per cent, on the BSE today.

Geo-thermal power projects utilise heat beneath the earth's surface to generate energy.
Source : PTI