JSW Jaigarh Port Ltd, an arm of JSW Infrastructure Ltd, has signed a concession agreement with Konkan Railway Corporation Ltd for developing a 33.7-km new railway corridor, connecting port to the new Digni station on Konkan railway network. JSWJPL emerged as a successful bidder following a competitive bidding process to develop this project under public private partnership model for development, operation and maintenance of rail system.
The Joint Venture Jaigarh Digni Rail Ltd will have JSWJPL, KRCL and Maharashtra Maritime Board as shareholders. The estimated cost of the project is Rs.771 crore. The concession agreement between JDRL with Ministry of Railways and KRCL will be valid for 30 years.
The alignment for this new rail line passes through difficult terrain of Sahyadri mountains which would necessitate construction of about 18 km long tunnels. The estimated time of completion is 30 months and the rail corridor is expected to handle around 12 million tpa cargo.
JSW Jaigarh Port is a modern, mechanized, all weather deep water port having a capacity of 15 million tpa with two berths and is expanding rapidly to achieve capacity of 65 million tpa by 2020. In FY15, the port handled 7.5 million tonnes of cargo.
Meanwhile, JSW Infrastructure is learnt to have made plans of investing Rs.2,000 crore over the next two years to expand the handling capacity of its various ports. Currently, the JSW Group has ports in Maharashtra (Jaigarh and Dharamtar), and at Goa (near Vasco da Gama.)