JSW Infra Bags ₹740 Cr Kolkata Port Deal, Boosts Container Capacity 🚢
Hey finance enthusiasts!
Big news from the infrastructure world! JSW Infrastructure Limited (JSWINFRA) has just announced a significant win: they’ve received a Letter of Award (LOA) for a major project at the Syama Prasad Mookerjee Port in Kolkata. This isn’t just any contract; it’s a strategic move that promises to bolster JSW Infra’s presence in eastern India and significantly expand its container handling capabilities. 💪
The project involves the reconstruction of Berth No. 8 and the mechanization of Berths 7 and 8 at Netaji Subhas Dock. This entire endeavor will operate on a Design, Build, Finance, Operate, and Transfer (DBFOT) basis under the Public-Private Partnership (PPP) model. Think of it as JSW Infra taking full responsibility for designing, building, funding, running, and eventually transferring the facility back to the port authority after the concession period.
So, what are the key details?
- Investment: This ambitious project comes with an estimated capital expenditure of ₹740 crore. That’s a substantial investment highlighting the scale of the development.
- Concession Period: JSW Infra will operate these berths for a solid 30 years, giving them a long-term stake in the port’s operations.
- Timeline: The construction phase is expected to take two years. What’s even better? The company plans to commence operations even during the construction period, leveraging Kolkata City’s steady cargo volumes right from the start.
This new contract is a game-changer for JSW Infrastructure. It aligns perfectly with the government’s port privatization initiatives and is a crucial step in diversifying JSW Infra’s cargo portfolio, especially in the container segment. Currently, their New Mangalore Container Terminal on the west coast handles 0.2 million TEUs (Twenty-foot Equivalent Units), which is already expanding to 0.35 million TEUs. With the Kolkata project, JSW Infra’s total container handling capacity will soar to nearly 1 million TEUs, positioning them as a significant player in India’s port container sector. 📈
JSW Infrastructure is already India’s second-largest private commercial port operator, with 12 strategically located port concessions across India’s coasts. This latest win in Kolkata not only strengthens their eastern footprint but also underscores their commitment to enhancing India’s port infrastructure and operational efficiency. It’s exciting to see how this development will contribute to the nation’s logistics landscape!
Stay tuned for more updates from the world of finance and infrastructure! ✨
source: Corporate Announcement
Join our Telegram for instant updates!