Coal news and updates

Dhamra Port and Tata Steel extends cargo handling agreement for one more year

June 24: Tata Steel Ltd and Dhamra Port Limited have recently agreed to extend their long term cargo handling agreement by one year under which the latter will provide facility to the former for berthing of its vessel on priority basis, an industry source said.

“Tata Steel Ltd and Dhamra Port had signed an agreement in 2010 for priority berthing of the formers vessels at the port for five years and the agreement has been extended for one more year,” the source said.

“As per the agreement, Tata Steel will provide an assured cargo of 4.50 lakh tons or 0.45 million tons annual to the port yearly to avail the facility of priority berthing,” the source added.

The port has currently a capacity to handle 1.00 million tons of coal cargo per month.

In May, Adani Port and Special Economic Zone (APSEZ) had completed the acquisition of Dhamra Port from Tata Steel and L&T Infrastructure Development Projects for about Rs 5,500 crore.

Dhamra Port was commissioned in May 2011 and had handled 14.3 million tons of cargo in 2013-14.