Vandanaa Energy & Steels Pvt. Ltd was incorporated on June 20, 1989 to set up a medium scale unit for manufacturing Ferro Alloys ( Ferro Manganese & Silco Manganese) with a 6.5 MVA Submerged Electric Arc Furnace. VESPL is also developing Manganese ore mine & Coal mine. The company on 4th June 2007 has entered into a MOU with the Chhattisgarh State government and Chhattisgarh State Electricity Board for setting up of 2x35MW (70 MW) Thermal Power Plant.

The Submerged Electric Arc Furnace of 6.5 MVA was commissioned in June 2004. Currently, company is also diversifying into Power generation and VESPL is in advanced stages of the erection of the 1x35 MW (Phase -1) Thermal Power Plant at Chhattisgarh. VESPL has targeted that 1st Unit, i.e. 35 MW Unit to be operational by December 2009. VESPL has also tied up for supply of coal by setting up a Joint Venture company named Madanpur (North) Coal Company Limited.

The total coal reserve is estimated as 179 Million Tons, out of which, Vandanaa Energy & Steels Pvt. Ltd share is 18 Million Tons. As the proposed power plant will be operated with Coal Washery rejects, Dolachar and Coal, the Coal reserves will be sufficient for the proposed project.