JK, Adani ramp up port project cost to Rs 3000 cr

Gujarat Maritime Board has approved the project plan of Dholera port.

Gujarat Maritime Board, finally, on Monday approved the project plan of the Dholera port in Gujarat, a joint venture between the JK group and the Adani group.

The size of the project has been revised to Rs 3,000 crore "" as a JV between the two groups, where the JK group and the Adani group will hold 51 per cent and 49 per cent stake respectively "" from the Rs 1,600 crore estimated three years ago when the JK group was supposed to handle the project on its own.

The Dholera port is also going to be the only other chemical port terminal after Gujarat Chemical Port Terminal in the country.

V K Saxena, chief executive officer, the Dholera port project, said, "With the entry of the Adani group, now we have much required expertise for the Dholera port project, and with that we have decided to change the project completely."

The Adani group has successfully commissioned the Mundra port and has much required financial muscle for the Dholera project. "With support from the Adani group now, we are considering container terminal and liquid handling terminals," said Saxena. In its original format, the port was to have a general cargo- and coal-handling facility.

The port project had originally envisaged 6 million tonne cargo-handling capacity spread among eight jetties.

However, in the JV, JK plans to have two-three more jetties for additional functions. In original plans, 43 per cent of the cargo-handling capacity at the jetty was allotted to coal import activities and the remaining to other bulk cargos, while under the JV, equal emphasis will be on container and liquid cargo businesses.

However, as the Adani group already handles a substantial amount of coal cargo at Mundra, that function may be handed over the Adanis, said Saxena.

On clearance, construction work of basic infrastructure at the Dholera port is likely to start in the next three-four months. The gestation period for the project, however, will be two-three years before the port goes on stream, said Saxena.

The JK group has already invested Rs 12 crore in some initial stage work of the project. The funds required for the project will be met by the JV partners through a combination of equity and debt.

"As the clearance is just received, we will have a meeting next week to prepare a blueprint for the investment for the project." said Saxena.

FULL STEAM AHEAD

The port will be the only other chemical port terminal after Gujarat Chemical Port Terminal

Now, the JK group is considering container terminal and liquid handling terminals