Tata Steel may participate in Gopalpur port development.

Tata Steel, which is developing a multi-product Special Economic Zone (SEZ) along with an industrial park near Gopalpur in south Odisha's Ganjam district, is likely to participate in the upgradation of the minor port at Gopalpur.

Gopalpur port is being upgraded by Gopalpur Port Limited (GPL), a Special Purpose Vehicle (SPV), currently owned by Orissa Stevedores Limited (OSL) and Sara International Ltd (SIL) after the exit of another original promoter, Hong Kong based Noble Group.

The state government had selected GPL to develop the Gopalpur port into an all-weather port in 2008 on BOOST (build, own, operate, share and transfer) basis at a cost of Rs. 1,200 crore.

'We are exploring possibilities on how to participate in the company (GPL) to develop the port,' said Arun Misra, vice president of Tata Steel's Gopalpur project. He, however, did not give details on modalities of the participation.

Since GPL had already signed agreement with the state government for port development, the steel major can't be an equity partner in GPL for three years of its commercial operations, said director (operations) of GPL, Manmohan Moharana. GPL commenced its commercial operations in May last year.

BS