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GVK Power & Infra spurts on getting nod for Abbot Point Port development

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Capital Market
Last Updated : Dec 11 2013 | 12:02 AM IST

GVK Power & Infrastructure surged 9.17% to Rs 9.05 after the company said that it has relieved the Australian Federal Government's approval for its Abbot Point Port Capital Dredging programme.

The announcement was made during trading hours today, 10 December 2013.

On BSE, 46.36 lakh shares were traded in the counter as against average daily volume of 10.31 lakh shares in the past one quarter.

The stock hit a high of Rs 9.25 and a low of Rs 7.99 so far during the day. The stock had hit a 52-week high of Rs 15.75 on 9 January 2013. The stock had hit a record low of Rs 5.52 on 6 August 2013.

The stock had outperformed the market over the past one month till 9 December 2013, rising 5.34% compared with the Sensex's 3.19% rise. The scrip also outperformed the market in past one quarter, gaining 21.73% as against Sensex's 10.67% rise.

The small-cap company has equity capital of Rs 157.92 crore. Face value per share is Re 1.

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GVK Power & Infrastructure today, 10 December 2013 said it has received the Australian Federal government's approval for its Abbot Point Port Capital Dredging programme. This approval will help expedite GVK's mine-rail-port project in Australia, the company said.

Achieving this final environmental approval from the Federal government is a significant milestone towards the development of GVK's Hancock's Terminal 3, or T3, port facilities and Galilee Basin coal assets including the Alpha, Alpha West and Kevin's Corner coal projects, along with the construction of a rail solution to the Abbot Point port in Australia, the company said in a press release.

Together with the previously received clearances for the Alpha mine, the rail to Abbot Point and the EPBC Act approval for the port, GVK Hancock has solidified its leading position in the Galilee basin of Queensland, Australia, the company added.

"We welcome this Federal Ministerial environment approval which will help protect the environment whilst creating jobs and economic investment in the state and region, said Dr GVK Reddy, founder chairman and managing director, GVK Power & Infrastructure.

Finalising the last of our environmental approvals represents the culmination of over seven years of the most comprehensive and rigorous environmental assessment process. Ultimately, we believe the overall assessment process has resulted in best practice environmental protection outcomes, and a positive signal for future investment and job creation. We have clearly acknowledged the need to raise the bar on environmental assessments and management, by participating in a voluntary and industry-first cumulative impact assessment for Abbot Point in addition to work done in obtaining our EPBC Act approval last year, he added.

On a consolidated basis, GVK Power & Infrastructure reported a net loss of Rs 57.19 crore in Q2 September 2013, higher than the net loss of Rs 43.66 crore in Q2 September 2012. Net sales rose 8.1% to Rs 691.91 crore in Q2 September 2013 over Q2 September 2012.

GVK is a leading Indian conglomerate with presence across energy, resources, airports, transportation, hospitality and life sciences sectors.

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First Published: Dec 10 2013 | 3:37 PM IST

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