JSW Infrastructure Approves Rs 2,359 Crore Capex For Major Port Expansion

JSW Infrastructure Ltd.'s board has approved a capital expenditure of Rs 2,359 crore for capacity expansion at its Jaigarh and Dharamtar ports. This move is part of the company's 2030 growth strategy to boost total capacity from the current 170 million tonne per annum to 400 MTPA.

The boards of the respective subsidiary companies have approved a capacity expansion plan totalling 36 MTPA. This includes 21 MTPA at Dharamtar Port and 15 MTPA at Jaigarh Port, according to an exchange filing.

The capex plan includes mechanical, civil, and electrical work for the new berths and additional infrastructure, such as railway siding for Jaigarh Port, to boost third-party cargo movement.

The expansion will increase the overall capacity of Jaigarh Port to 70 MTPA from the current 55 MTPA and Dharamtar Port to 55 MTPA from the current 34 MTPA, the filing said. This expansion primarily aims to cater to the increased cargo volume of the anchor customer on the back of the proposed 5 MTPA steel-making facility at Dolvi in Maharashtra.

The expansion at both ports is expected to generate an additional cargo handling volume of approximately 27 MTPA. The construction at both ports is anticipated to be completed by March 2027.

Separately, the company said that its board has also approved the investment in the Bhoke Railway Siding Project on the Konkan Railway route, which will further improve the access to the railway for Jaigarh Port’s cargo, to be undertaken by the material subsidiary JSW Jaigarh Port Ltd. The total cash outflow for this project is estimated to be approximately Rs 125 crore.

Shares of JSW Infrastructure were trading 1.69% higher at Rs 312.25 per share, compared to a 0.31% advance in the BSE Sensex at 2:52 p.m.