In accordance with Orion’s vision to participate in meeting up the continuous power crisis of the country and the development of national infrastructure, Orion targets to venture into the field of power generation via independent power projects (IPP). Within a very short period it has made significant progress and has been awarded the 495 MW Meghnaghat Phase II Combined Cycle Power Plant together with its foreign partners Belhasa International of UAE and Steag Encotec of Germany.

By undertaking the construction and management of power plants, the Group aims to make substantial input in this sector. We believe ORION’s participation in power sector will reduce country’s power crisis and foster sustainable economic development of the country.

ORION has the following units participating in the power sector:

BON Consortium Power Company Limited

The Group has been awarded the 495 MW combined cycle Meghnaghat Phase II Power Project, under a consortium named, BON Consortium Power Company Limited. The BON Consortium Power Company Ltd. is a joint venture of the Orion Power Company Limited of Bangladesh, Belhasa National Corporation LLC of the United Arab Emirates and Steag Encotec GmbH of Germany. Orion Power Company Limited is sister concern of Orion Group. Belhasa National Corporation LLC, is a unit of Belhasa Group, one of the leading names in the Middle East with years of proven track record in the infrastructure development and construction sectors. Steag Encotec of is one of the biggest names in Europe that provides engineering services for the design, construction and optimization along with operation, maintenance, management and support of power plants around the world.

BON Consortium will be responsible for the development of a Gas Fired Combined Cycle Power Station for Meghnaghat phase-II including all support facilities (the Project) which will provide a total of 495 MW net, at site condition located at the Meghnaghat site near Dhaka in Bangladesh. The project will start its implementation in early 2007. The project will have life around 30 years. Generated Power output will be connected to the National Grid Sub-station at 230 KV terminal through its step up Transformers.

The power generated by the plant will be sold to BPDB under a long term Power Purchase Agreement (PPA) signed on March 9, 2006 with BPDB. An implementation Agreement (IA) was also signed with the GOB on March 19, 2006 providing performance guarantee for BPDB and the gas supplier and all fiscal and other incentives provided to IPP projects under the Private Sector Power Generation Policy 1996. The plant will be located on a thirty (30) acres of land to be leased from BPDB on its 230 acre Meghnaghat complex site developed in 1999 for setting up of up to 2000 MW generation capacity. A Land Lease Agreement (“LLA”) has been finalized and will be signed with BPDB soon. The Gas Supply Agreement (“GSA”) for the project has been initialed with the gas supplier, Titas Gas Transmission and Distribution company Limited (“Titas”) and is now under legal vetting under the Ministry of Law, Justice and Parliamentary Affairs.

The project will be another milestone will make significant role in reducing the power crisis of the country.

Orion Power Company Ltd.

Orion Power Co. Ltd. has been formed to undertake the construction and management of small to medium size of Power Plants. In line with Orion’s vision to participate in the national infrastructural development, Orion Power Company Limited has submitted bids for Independent Power Plant (IPP) from 10 MW to 30 MW together with its foreign partners.

Orion has recently qualified in the Pre-qualifications stages of 4 (four) small power plants (30 MW, 20 MW & 10 MW), invited by the Power Cell, Ministry of Power, Energy and Mineral Resources.