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JNPT to spend fund on land reclamation

JNPT to spend fund on land reclamation
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Reports suggest that the Jawaharlal Nehru Port Trust (JNPT) would spend the amount raised through its upcoming bond issue for land reclamation activities for the proposed fourth terminal.

The port plans to raise Rs 2,000 crore through issue of tax-free infrastructure bonds for its expansion plan.

It may be learnt that much-delayed fourth terminal project would be bifurcated and work will be carried out simultaneously by two players. It was originally planned as a Rs 6,700-crore project, which will add up to 4.6 million TEUs to the port.

The original fourth terminal project could not take off as the consortium comprising the Port of Singapore and ABG Infra, which was awarded the project, could not sign the concession agreement within the stipulated timeframe.

The Port of Singapore and ABG have not been blacklisted and will be allowed to re-bid for the project, if they so desired, reports suggest. The newly conceived bifurcated project will result in curbing costs (efforts are on to contain it at Rs 8,000 crore) and also increase the capacity (to up to 5.2 million TEUs), media reports indicate.

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