GMB looks for alternative site to shift Rs 3,000 cr project; Chennai based Creative Ltd given LOI as developer.
Oil and Natural Gas Corporation (ONGC) has refused shifting of a portion of the Bassien pipeline near Surat, forcing Gujarat Maritime Board (GMB)-the state’s port regulator to hunt for a new location to shift the Rs 3,000 crore project.
Chennai based Creative Ltd, an infrastructure firm, had already been awarded the letter of intent to start work on developing this port last year.
Vansiborsi, which lies about 30 kms south of Surat, has been envisaged as a petroleum port having facilities like single buoy mooring to import and export crude oil.
ONGC has refused government’s request to shift its sub-sea Bassien gas pipeline that passes very near to Vansi Borsi, state government sources said.
A big structure coming up near the port would exert a lot of pressure on the pipeline, sources privy to the development said. While this sub-sea pipeline is around 500 m from the coast, the developer will have to reclaim a lot of land from sea, sources added.
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ONGC has replied to GMB’s request for shifting a portion of the pipeline stating that it is not possible for various reasons, according to sources.
"Shifting the pipeline would mean several permissions from various government departments, both Central and state governments. Secondly, it would also involve lot of cost according to ONGC," sources said.
When contacted, a senior official of ONGC Hazira refused to comment on the issue. According to the traffic projections, Vansi Borsi is expected to handle 7.5 million tones of petroleum, oil and liquid (POL) cargo by 2011.
According to a pre-feasibility report prepared by GMB, Vansi Borsi port would be developed in two phases. The jetty is to be designed in first phase itself would be capable of handling 60,000 DWT ships, which can be utilized in second phase for 60,000 DWT ships after dredging alongside at jetty. A separate single buoy mooring was proposed to handle petroleum crude which can be pumped to the future refinery/storage location.