Punj Lloyd Infrastructure (PLIL), a Punj Lloyd Group subsidiary, received an order worth Rs 735 crore from the National Highways Authority of India (NHAI) today.
PLIL, set up for implementing infrastructure development projects, will upgrade NH-31 from Khagaria to Purnea in Bihar to a two-lane, undivided carriageway with paved shoulders, under the National Highways Development Programme - three.
The project will work on a build-operate-transfer (BOT) annuity basis. And the scope of work will involve the design, building, finance, operation and transfer of the 140 km section of the national highway.
PLIL will form a Special Purpose Vehicle (SPV), which in turn will sign a concession agreement with NHAI for 17 years. It will be entitled to semi annual annuities of Rs 56 crore, according to press statement issued by the company.
Speaking on the awarded project, Atul Punj, Chairman, Punj Lloyd Group said, “The National Highways Development Programme has been instrumental in improving the accessibility across the nation and has led to the planned development of commerce and tourism. This has opened tremendous opportunities for enhancing local employment and upliftment of the rural economy and Punj Lloyd is proud to be an integral part of this development.”
"This is a significant BOT Project for the Group on a standalone basis. Through Punj Lloyd Infrastructure, the Group will continue rational bidding with an aim to create a portfolio of Infrastructure Development projects. This project complements our existing portfolio of highways construction portfolio in India,” added Punj.
So far, Punj Lloyd has built over 1,200 km of highways under the Programme. These highways fall under the Golden Quadrilateral and East West Corridors for NHAI. The group has also executed BOT projects in the past along with other partners.