GMR Infrastructure Ltd announced on Wednesday that its unit GMR Energy, through its subsidiaries, has bought Indonesia's PT Barasentosa Lestari.

In a disclosure to the Bombay Stock Exchange, the group said that said it has acquired 100 per cent stake in Indonesia-based PT Barasentosa Lestari through its wholly-owned subsidiary, GMR Energy, for an undisclosed amount.

It further added that the Indonesian firm holds a license providing a 30-year mining authorization over two coal blocks in the country.

Confirming the development, A Subba Rao, CFO, GMR said, “When the coal price was high in mid-2008, we negotiated for buying the firm for $100 million. Later, we renegotiated and managed to buy it at $80 million, and that too in two tranches. We have to pay the remaining amount only after the beginning of the commercial production, expected after two years.”

He also said that the company, with this move, would be able to achieve fuel security for its power projects in India.

It can be recalled here that a few days back GMR Energy Ltd (GEL) has acquired 33.5 per cent of Homeland Energy Group Ltd (HEG), Canada, listed on the Toronto Stock Exchange.