India’s Port of Ennore, a major cargo hub near Chennai Port, is asking for fresh proposals to develop its long-awaited container terminal project.
The move follows the cancellation of Ennore’s initial tender in September last year after a consortium led by U.K.-based Eredene Capital pulled its bid, citing cost escalation and depressed market conditions.
Original plans called for the construction of 3,280 feet of quay and draft of 49 feet, providing for an estimated capacity of 1.5 million 20-foot-equivalent units a year.
“The proposed container terminal is to be developed in stages on a modular basis. The strategy would be to develop terminals that can accommodate at least 8,000-TEU vessels and even 14,000-TEU ships, in future,” the port said in its request for proposals.
The contract will be awarded under the public-private partnership model with a 30-year concession. Proposals are expected to be submitted on or before Jan. 31, 2013.
Ennore, one of India’s 12 state-owned gateway ports, currently handles bulk ships with drafts up to 52 feet. Cargo volume for fiscal 2011-12, which ended March 31, 2012, was estimated at 15 million tons, up from 11 million tons a year earlier.