FINANCIAL & TRANSACTION ADVISORY SERVICES FOR OPERATIONALIZATION OF ADDITIONAL LIQUID CARGO BERTHS LB3 AND LB4 AT JNPT
Jawaharlal Nehru Port Trust has awarded the work of construction of additional liquid cargo berths i.e., LB3 and LB4 in order to meet the demand for handling of liquid cargo. The cost of the work is estimated Rs. 309 Crores and the project is expected to be completed by December 2022.
The additional liquid cargo berths are being constructed as an extension of existing liquid cargo berths LB1 & LB2. Operation of berths LB1 and LB2 is being carried out by M/s. BPCL as the berths have been developed by M/s BPCL under BOT contract. The term of BOT contract with M/s BPCL will end by 2026 as per the concession agreement.
JNPT intends to handover the operation of LB3 and LB4 to an Operator to be appointed by JNPT for a concession period of 30 years on PPP mode.
In this respect, JNPT has appointed CRISIL Limited (CRISIL) to carry out the Financial and Transaction Advisory / bidding process for selection of a suitable PPP developer/operator for the project on PPP mode. In this Context CRISIL had commissioned Eka Infra Consultants Private Limited (Eka Infra) to provide consultancy services related to technical matters such as planning of top side facilities, review of EPC scope of work, block cost estimate for balance work, approvals required, and PPP bid advisory support.
In this respect, JNPT has appointed CRISIL Limited (CRISIL) to carry out the Financial and Transaction Advisory / bidding process for selection of a suitable PPP developer/operator for the project on PPP mode. In this Context CRISIL had commissioned Eka Infra Consultants Private Limited (Eka Infra) to provide consultancy services related to technical matters such as planning of top side facilities, review of EPC scope of work, block cost estimate for balance work, approvals required, and PPP bid advisory support.
Eka Infra’s scope of work included at a broad level the following activities:
- Stakeholder Interaction (all direct and indirect Stakeholders like various departments of JNPT, Existing and Potential Clients, Existing and Potential tank farm operators, Shippers, agents etc.) to understand their current and future liquid handling scenario along with assisting JNPT to make MoU with existing and potential stakeholders for future traffic handling through LB-03 and LB-04.
- Suggestion and Finalization of the extension of pipelines required from LB1 & LB2 to LB3 & LB4 (or any other possible arrangement) to maximise the throughput in consultation with stakeholders.
- Joint Stakeholder consultation after finalization of traffic and brief operational scenario and incorporation of suggestions / recommendations (if any).
- Assessment of total civil, mechanical, instrumentation items of works and its costs required for operationalization of Liquid Berth (LB-03 & 04)
- Estimation of Capital Expenditure i.e., Civil Works to be undertaken by JNPT – based on the DPR which is already prepared for LB-03 and LB-04.
- Estimation of Capital Expenditure i.e., Installation of Marine Loading Arms, Extension of Pipeline from LB1 & LB-2 required, electrical and instrumentation required based on the Traffic considerations.
- Assessment of Legal Aspects
- Enlisting of additional environmental clearances required (if any)
- Enlisting of various Government permissions required for the operationalization of Liquid Berths.
- Assisting JNPT in floating notifications, arranging pre-bid meetings, responding to pre-bid queries etc.
- Assisting JNPT in evaluation of Bid proposals, shortlisting of candidate and negotiation etc
