Gammon India led consortium bags Rs1200 cr deal

Gammon India led consortium bags Rs1200 cr deal
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First Published: Tue, Dec 04 2007. 01 43 PM IST
Updated: Tue, Dec 04 2007. 01 43 PM IST
By PTI
Mumbai: Gammon India led consortium has bagged a multi-year project worth Rs1200 crore from the Mumbai Port Trust for developing the Mumbai offshore container terminal project.
Indira Container Terminal Pvt Ltd, the special purpose vehicle incorporated by the consortium of Gammon and Spanish logistics firm Dragados SPL has signed a license agreement with the Mumbai Port Trust to this effect, Gammon India said in a filing to the BSE.
The estimated project cost is about Rs800 crore in the initial phase of three years and another Rs400 crore subsequently, thus aggregating to about Rs1,200 crore. The project is on a BOT (built, operate and transfer) basis for 30 years, including three years of construction and equipping period.
Earlier in November, the government approved the development of Offshore Container Terminal (OCT) at Mumbai port with an estimated investment of Rs1,228 crore. The capacity addition due to implementation of this project would be Rs9.6 million tonnes per annum. Besides, the project would also enable the port to handle large size container vessels, which would save precious foreign exchange.
Mumbai Port Trust would provide supporting infrastructure of capital dredging and navigational aids, filling of Prince’s and Victoria docks, laying of tracks for rail container depot and miscellaneous works and environmental management plan.
The project would facilitate the Mumbai port to bridge the capacity gap in Mumbai region along with JNPT. Besides, augmenting growth in trade, employment generation and increasing income, incremental regional economic development in addition to other spin-off economic benefits. Shares of Gammon India were trading at Rs569, up 3.45% on the BSE in afternoon trade.
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First Published: Tue, Dec 04 2007. 01 43 PM IST