Mumbai: Sical Logistics Ltd (formerly South India Corporation Agencies Limited) has received a letter of intent to build a Rs550 crore iron ore terminal at Ennore port, near Chennai. The project, with a capacity to handle 12-million tonnes of cargo per year, is expected to be operational in 2008-09.
The terminal would be developed on a build-operate-transfer contract for 30 years, including the construction period. The handling capacity may later be expanded to 15-20 million tonnes per year.
The consortium would develop the project on a revenue sharing model with Ennore Port and the company expects to generate annual revenues of about Rs200 crore from the project.
The terminal would initially handle Panamax and Cape size vessels of up to 150,000 DWT, slowly increasing it to 225,000 DWT after dredging operations. The terminal will also have facilities like mechanised handling systems with conveyor, storage, and a wagon unloading system, the company said.
Founded in 1955 by the late M A Chidambaram, Sical, a $230-million company, is among India's leading provider of multi-modal integrated logistics for bulk and containerised cargo.
Sical operates and manages near-port container freight stations and inland container depots. It has a 10-year contract for operating and managing the Central Warehousing Corporation's (CWC) container freight stations.
Sical Logistics Limited went public in March 1981. Its shares are listed in the Bombay Stock Exchange (BSE) and the National Stock Exchanges (NSE).