Indian Railway Finance Corporation (IRFC) has sanctioned a loan of Rs 3,388.51 crore to Patratu Vidyut Utpadan Nigam Ltd (PVUNL), a joint venture of NTPC and Jharkhand Bijli Vitran Nigam. 

The funds are earmarked for development of the Banhardih coal block, located in Latehar district, Jharkhand, which will supply coal for PVUNL’s planned thermal power units.

IRFC, originally established as the finance arm of the Ministry of Railways, said the move is consistent with its expanded role as infrastructure financier, especially for projects with linkage to railway logistics and energy supply chains.

Market reaction to the announcement was positive, with IRFC shares gaining following the news of fresh loan disbursals.