ITD Cementation India Ltd, a subsidiary of the Adani Group, is set to secure a contract worth Rs 16.48 billion (bn) ($198 million) for near-shore reclamation and shore protection works at the proposed Vadhvan mega port in Maharashtra. The firm emerged as the lowest bidder during the recent tender opening, with a bid 6.89 per cent lower than the Rs 17.70 bn estimate provided by Vadhvan Port Project Ltd (VPPL).

VPPL is a special purpose vehicle (SPV) spearheaded by the Jawaharlal Nehru Port Authority (JNPA), which holds a 74 per cent stake, with the Maharashtra Maritime Board owning the remaining 26 per cent. The project is touted as India’s largest port by capacity, designed to handle 298 million tonne of cargo annually, including 23.5 million TEUs (twenty-foot equivalent units).

The estimated Rs 762.2 bn($9.16 billion) port will be built on 1,448 hectares (ha) of reclaimed land, of which 197 ha will be developed near the shore for offshore works like breakwater construction. The remaining reclaimed land will house onshore facilities, including cargo terminals, infrastructure, and utilities.

ITD Cementation outbid a joint venture between MAN Infraconstruction Ltd and Thakur Infraprojects Pvt Ltd, which quoted Rs 17.55 bn, and Navayuga Engineering Co Ltd, which offered Rs 20.70 bn.

The basic infrastructure for Vadhvan Port, estimated at Rs 389.76 bn ($4.68 billion), will include dredging, reclamation, shore protection, rail-road connectivity, and other utilities. Of this, Rs 206.47 bn ($2.48 billion) worth of work will follow a public-private partnership (PPP) or Hybrid Annuity Model (HAM), while the remaining Rs 183.29 bn ($2.2 bn) will be executed via the EPC route.

The port’s remaining cost, Rs 372.44 bn ($4.47 billion), will be borne by private terminal operators for container terminals, multipurpose berths, coastal cargo facilities, and other infrastructure.