Ranchi, March 2 (IANS) A 540 MW thermal power plant of the Abhijit Group will become operational by the end of next year, an official said Tuesday.

The group is setting up two units of the plant in Chandawa block of Latehar district in Jharkhand.

The official said the first unit was coming up at a cost of Rs.22,000 crore, adding that the unit would generate 3,000 direct and 4,000 indirect jobs.

'The first 540 MW thermal power plant coming up in Chandawa will become operational by the end of 2011,' Abhijit Group Chief Executive Officer (CEO) of Arun Gupta told IANS.

He said the work was in progress despite the law and order problem in the state. 'There is law and order problem but the company is trying its best to complete the project on time,' he added.

In April 2009, Maoist rebels attacked the company site and killed four security personnel. The state government then beefed up security at the site.

As per its agreement with the state government, the company will sell 25 percent of the power generated to Jharkhand.