Essar signes agreement with Paradip Port Trust (PPT) Essar Bulk Terminal

Essar Bulk Terminal signs pact with Paradip Port
Mechanisation of berth for handling dry, bulk cargo.

The Essar Group, which has executed ports and terminals at Vadinar,
Hazira and Salaya in Gujarat, has now signed licence agreement with
Paradip Port Trust (PPT) for mechanisation of multi-user berth for
handling dry and bulk cargo with a total capacity of 16 million tonnes
per annum (mtpa). For this purpose, Essar Bulk Terminal Paradip Ltd
(EBTPL) will invest about Rs 500 crore for mechanisation of Central
Quay-III berth, taking the total port sector investment of the Essar
Group at Paradip to over Rs 1,000 crore, the company said in a
statement here on Tuesday.
With the completion of this, the total terminal capacity planned by
Essar Group at Paradip would be enhanced to 30 mtpa, comprising both
third party cargo as well as captive cargo.The project is scheduled to
be commissioned in April 2011. The licence is for a period of 10
years, extendable by another five years with mutual consent, the
company said.EBTPL is a part of Essar Shipping Ports and Logistics Ltd
(ESPLL), a major port owner and operator and an integrated logistics
solution provider having substantial investments in ports and
terminal.ESPLL is a logistics services company with presence in sea
transportation, ports and terminals, logistics and oilfields services.
This is the second port project of ESPLL with PPT for handling third
party cargo.
BOT basis
Earlier, ESPLL, which is building a cargo handling capacity of over
150 million tonnes (both dry and bulk cargo), was awarded the project
for development of 14 mtpa deep draught coal berth at Paradip on
build-operate-transfer (BOT) basis for a concession period of 30
years, with a project cost of Rs 560 crore.ESPLL has a shipping fleet
of 25 vessels, with 12 new ships on order. It would be investing more
than $0.6 billion to procure these vessels. ESPLL has been contracting
drilling services to global oil majors, with a fleet of 12 onshore
rigs and one semi-submersible offshore rig, while two new jack-up rigs
are on order.Currently, the company is executing expansion of oil
terminal capacity from 46 mtpa to 58 mtpa at Vadinar, building a 50
mtpa, all-weather deep draft port and jetty for import of iron, coal
and limestone and export of finished steel products at Hazira and a 20
mtpa integrated terminal facility for handling coal and pet coke used
in power plant at Salaya, all in Gujarat.
Ahmedabad, April 2010 :::::::::::: from the pages of THE HINDU
BUSINESS LINE newspaper.