JSW Infra bags LOI from Maharashtra Maritime Board for developing commercial port in Palghar

JSW Infrastructure said that it has received Letter of Intent from Maharashtra Maritime Board (MMB) for developing and operating a Port at village Murbe in Palghar District of Maharashtra.

As per the terms of the contract, the company would develop, operate, manage and maintain an all-weather and multipurpose port at Murbe on public private partnership (PPP) basis design, built, own, operate and transfer (DBOOT) model.

The LOI is valid for the period of 24 months, with a further extension clause. The royalty payable is based on per metric ton which will be escalated in the block period of 5 years.

The contract is subject to fulfillment of the terms and condition stipulated therein. On meeting the terms & condition as stipulated in the LOI, MMB to enter into concession agreement (CA) for the said project. The CA will be valid 70 years.

The proposed Murbe port is designed to be an all-weather, multi-cargo commercial port. The proposed port is located near major highways such as the National Highway 8 & the State Highway (Boisar Road) and Rail Corridors such as the Delhi-Mumbai trunk rail route and the Dedicated Western Freight Corridor.

The Murbe greenfield project aligns with the companys FY2030 growth plan to increase capacity from 170 million tonnes per annum (MTPA) to 400 MTPA.

JSW Infrastructure a part of JSW Group, is the second largest commercial port operator in India in terms of cargo handling capacity. It develops and operates ports and port terminals pursuant to port concessions.

On consolidated basis, the port operator has reported 8.87% fall in net profit to Rs 292.44 crore in Q1 FY25 as against Rs 320.89 crore recorded in Q1 FY24. Revenue from operations grew by 14.99% year on year (YoY) to Rs 1,009.77 crore in the quarter ended 30 June 2024.

The scrip advanced 0.82% to currently trade at Rs 325.35 on the BSE.

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