ABG Infralogistics set to get deals for 2 Haldia dock terminals operations

2008-5-30

ABG Infralogistics is set to secure the operation, handling and maintenance contracts for two berths, (Nos. 2 and 8) at the Haldia dock, thus outbidding three others in the race, namely, TM International Logistics (in partnership with Ripley & Co), Sical Logistics and Orissa Stevedores Ltd, it is learnt. However, the Board of Trustees of the Kolkata Port Trust is yet to formally approve the selection of the company, it is also learnt.

Once the approval has been given and the contract awarded, it will be another six months before the company will be in a position to start the actual operation, according to port sources. This is because substantial investments, running into a couple of hundred crore of rupees, might be needed on the acquisition and deployment of equipment ¨C six mobile harbour cranes, 50 pay-loaders , 30 dumpers, the list is long.

Coking coal imports


The Number 2 berth of the Haldia dock is newly-built, commissioned a few months ago, while the Number 8 is an old berth. At both the berths, ABG Infralogistics will handle mainly coking coal import for Steel Authority of India Ltd (SAIL) and Tata Steel.

SAIL, which imported 4.6 million tonnes (mt) of coking coal through Haldia in 2007-08, has indicated to step up the throughput to six mt in the current fiscal. For SAIL, Haldia is the most suitable port from rail transportation point of view for four of its plants located at Durgapur, Bokaro, Rourkela and Burnpur (IISCO).

Tata Steel's import in 2007-08, entirely for Jamshedpur plant, was 0.9 mt, likely to rise to 2..2 mt in 2008-09. This will include 1.4 mt for Jamshedpur plant and an additional 0.8 mt for Hooghly Metcoke, the company's Haldia-based coke producing unit.

Securing the operations, handling and maintenance contracts for two Haldia berths will be part of the bigger plan being envisaged by ABG Infralogistics. The plan, it is learnt, also includes launching transloading operation at Kanika Sands, an uninhabited island off Orissa coast.

Transloaidng plans


However, for the proposed transloading plan to materialise, the company first needs firm commitment on cargo support for which it is believed to be in negotiation with SAIL.

An estimated five to six million tonnes of imported coking coal on SAIL account alone could be handled at Kanika Sands annually, it is felt.

Depending on the success of negotiation with SAIL, ABG Infralogistics will approach the Orissa Government for necessary clearance. Kanika Sands being off the Orissa coast, the Orissa Government has made it clear that no operation could be undertaken in the island without its prior approval.

Source: Business Line
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