JSW Infra invests Rs 70 bn to expand port capacity by 40%
PORTS & SHIPPING

JSW Infra invests Rs 70 bn to expand port capacity by 40%

JSW Infra, the second-largest private port operator in India, is set to invest Rs 60-70 billion over the next 3-4 years with the goal of boosting its annual cargo handling capacity by over 40% to reach 250 million tonnes, according to the company's CEO. The primary focus of this investment will be on two greenfield port projects in Karnataka and Odisha, along with the expansion of a recently acquired cargo terminal.

Construction for both greenfield projects is scheduled to commence within the current calendar year, as mentioned by Arun Maheshwari in an interview. JSW Infra secured the development rights for the Keni greenfield port in Karnataka last year, and the concession agreement with the Karnataka Maritime Board has already been signed. Maheshwari anticipates that once the remaining approvals are obtained, construction will begin, taking approximately four years to complete. The estimated capital expenditure for the Keni port is Rs 41.19 billion, with an initial handling capacity of 30 million tonnes per annum.

Additionally, JSW Infra is venturing into Jatadhar in Odisha for another greenfield port project. The company plans to start building the port after the concession agreement is signed, which is expected within the next month or four weeks. This project is projected to take 3-4 years with a planned capacity of 30 million tonnes in phase 1, incurring a capital expenditure of around Rs 30 billion.

JSW Infra has also acquired a majority shareholding in PNP Maritime Services (PNP Port), an operating port in Raigad, Maharashtra. The company paid Rs 2.70 billion for a 50%-plus 1 share of the paid-up capital of PNP Port, which currently has a capacity of 5 million tonnes per annum and the potential to expand to 19 million tonnes per annum.

Arun Maheshwari stated that their objective is to increase capacity by 14-15% annually from the base, aiming to reach 10 million tonnes in the next 3-4 years. The funding for these projects will be a combination of 30% equity and the remaining through debt. JSW Infra, with Rs 6 billion in existing debt on its balance sheet, plans to raise additional debt in the coming financial year for its two major projects. Despite this, the company recently reported a robust operating performance, posting a 118% increase in net profit to Rs 2.54 billion. Maheshwari highlighted that 67% of their business comes from captive cargo and expressed confidence in the company's overall outlook, stating that the story "looks pretty great."

JSW Infra, the second-largest private port operator in India, is set to invest Rs 60-70 billion over the next 3-4 years with the goal of boosting its annual cargo handling capacity by over 40% to reach 250 million tonnes, according to the company's CEO. The primary focus of this investment will be on two greenfield port projects in Karnataka and Odisha, along with the expansion of a recently acquired cargo terminal. Construction for both greenfield projects is scheduled to commence within the current calendar year, as mentioned by Arun Maheshwari in an interview. JSW Infra secured the development rights for the Keni greenfield port in Karnataka last year, and the concession agreement with the Karnataka Maritime Board has already been signed. Maheshwari anticipates that once the remaining approvals are obtained, construction will begin, taking approximately four years to complete. The estimated capital expenditure for the Keni port is Rs 41.19 billion, with an initial handling capacity of 30 million tonnes per annum. Additionally, JSW Infra is venturing into Jatadhar in Odisha for another greenfield port project. The company plans to start building the port after the concession agreement is signed, which is expected within the next month or four weeks. This project is projected to take 3-4 years with a planned capacity of 30 million tonnes in phase 1, incurring a capital expenditure of around Rs 30 billion. JSW Infra has also acquired a majority shareholding in PNP Maritime Services (PNP Port), an operating port in Raigad, Maharashtra. The company paid Rs 2.70 billion for a 50%-plus 1 share of the paid-up capital of PNP Port, which currently has a capacity of 5 million tonnes per annum and the potential to expand to 19 million tonnes per annum. Arun Maheshwari stated that their objective is to increase capacity by 14-15% annually from the base, aiming to reach 10 million tonnes in the next 3-4 years. The funding for these projects will be a combination of 30% equity and the remaining through debt. JSW Infra, with Rs 6 billion in existing debt on its balance sheet, plans to raise additional debt in the coming financial year for its two major projects. Despite this, the company recently reported a robust operating performance, posting a 118% increase in net profit to Rs 2.54 billion. Maheshwari highlighted that 67% of their business comes from captive cargo and expressed confidence in the company's overall outlook, stating that the story looks pretty great.

Next Story
Real Estate

Rethinking Slum Development

In July 2024, the Supreme Court directed the Bombay High Court to initiate suo motu proceedings to evaluate the implementation of the Maharashtra Slum Area (Improvement, Clearance and Redevelopment) Act.During the ensuing proceedings, the Division Bench of Justices expressed concern about the plight of slum dwellers, saying, “Merely because you are a slum dweller doesn’t mean that you are left to the discretion of developers. They end up with a pittance.” The Bench also noted that the buildings allocated to slum dwellers were akin to “vertical slums”. “The buildings are congested. ..

Next Story
Real Estate

Ring in the New!

Lighting:OLED (organic light emitting diode) panels such as those by Philips are the latest option in soft lighting fixtures that can be embedded into walls, ceilings or furniture, says Nilesh Sawant, Principal Architect, Nilesh Sawant Architect. “Being thin and flexible, they lend themselves well to different applications while delivering the energy-efficiency associated with LED technology.”And Sapna Aggarwal, Founder, ANSA Architecture & Interiors, says “Embedded light-emitting diodes can create a dreamy illumination, while dimmable LEDs are useful for allowing..

Next Story
Infrastructure Urban

Jhansi Library

The Jhansi Library, commissioned by the Jhansi Development Authority (JDA) under the Jhansi Smart City initiative and built by Bootes Impex, a net-zero construction-tech company. It is the first library in Asia to achieve EDGE (Excellence in Design for Greater Efficiencies) certification from the International Finance Corporation (IFC), a member of the World Bank Group. This milestone marks the library as India’s first and only net-zero library, aligning  with India’s Net-Zero Vision 2070.Sustainable designDeepak Rai, Managing Director, Bootes Impex, explains, “The project's vision ..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000