PPT-IPRCL in JV for Rs. 5,849-cr rail corridor

Paradip Port Trust Indian Port Rai lCorporation Joint Venture

Paradip Port Trust and the Indian Port Rail Corporation Ltd. (IPRCL) have joined hand to build corridor connecting Salegaon (Maharashtra) with the Paradip port at an investment of Rs. 5,849.2cr. In the mega project, the debt component has been pegged at Rs. 4,209.7cr, the remaining Rs. 1,639.5-cr will come in as equity contribution from the promoters. While PPT will have a 51% stake in the heavy haul rail corridor, Mahanadi Coalfields Ltd. (MCL), the Odisha government and a Railway PSU would have 13%, 10%, and 26% equity, respectively, and either Rites Ltd. or Rail Vikash Nigam Ltd. (RVNL) is proposed to be the equity partner. The Odisha government's stake is likely to be held through Odisha Industrial Infrastructure Development Corporation (IDCO), the state-owned nodal agency for land acquisition and industrial infrastructure development. The project is proposed to be developed in two phases whereby in the first phase, the corridor will be built from Salegaon to Kandarpur near Cuttack and is slated to be commissioned by 2021.