P&O Ports signs for Bengal box terminal

The project involves the construction of both container terminal and multipurpose berths. P&O has the right to acquire 69% of Kulpi Port Company to which BPL will assign a 50-year concession to develop, operate and maintain the port. Two new berths are envisaged initially with additional capacity to be developed in line with demand.

Each new berth will have a capacity of up to 500,000TEU/ year and offer 350 metres of quay line. Cost for the initial two berths is put at £235m and the first berth could be operational by 2007.

Currently Kolkata and the surrounding region are served by government-run terminals in Kolkata and the nearby port of Haldia. These terminals are, however, becoming capacity constrained and also operate behind locks. The new Kulpi facility will, therefore, provide needed new capacity and offer direct berthing.

The special economic zone and port will be spread over 3,000 acres in total of which 300 acres will be used for the port and allied back-up facilities.