Welspun Enterprises inks pact with NHAI for Rs 20-bn project in Tamil Nadu

Welspun Enterprises said Monday it has inked a pact with National Highways Authority of India (NHAI) for a Rs 20.05 billion highway project in Tamil Nadu.

"NHAI and Welspun Sattanathapuram Nagapattinam Road Private Limited (WSNRPL), a subsidiary of Welspun Enterprises Ltd, have executed the Concession Agreement on December 3, 2018 for four-laning of Sattanathapuram to Nagapattinam section of NH-45A (New NH -332) in Tamil Nadu," the company said in a regulatory filing to the BSE.

It said the project falls under NHDP Phase-IV and will be implemented on hybrid annuity mode (HAM).

"WSNRPL will develop the project at a Bid Project Cost of Rs 20.04 billion and first-year O&M (operation and maintenance) cost of Rs 50 million," the company said.

The construction period is two years and WSNRPL has received a firm sanction letter from lenders for this project, the company said in the filing.