April 15, 2008
India's L&T unveils plans for $750 million shipyard complex
Indian engineering and construction giant Larsen & Toubro has selected the site for a Rs. 3,000 crore ($750 million) shipyard and port complex that, it says, will to bridge the gap between India's shipbuilding industry and that in developed countries, and result in a "paradigm shift" in India's shipbuilding capabilities.
Today, L&T inked a joint venture agreement with the Tamil Nadu Industrial Development Corporation Ltd (TIDCO) that will see the complex set up at Kattupalli village, near Ennore in Tiruvallur District of Tamil Nadu.A feasibility report has been completed. Evironment studies are in progress. Construction is set to start by the end of 2008, and the project is expected be completed in 24 months.
The proposed complex will be able to build commercial ships such as Very Large Cargo Carriers, specialized cargo ships for liquid / gas transportation and cruise vessels. It will also have the capability to build vessels for the defense sector, offshore platforms and FPSO's.
The shipyard will also have the facilities for refitting and re-engineering of commercial and defense vessels, and heavy engineering fabrication and components production for ship building purposes.
The shipyard complex will promote several ancillary units for manufacture of components and spares not only for its own use but for export. When operational, the shipyard will become a nucleus for the heavy engineering industry (for fabrications and components manufacturing).
L&T says it selected the Tamil Nadu site for this project based on its suitability, the investor friendly policies of the Tamil Nadu Govt. and the availability of large pool of technically qualified and skilled manpower in the state. This project has significant employment potential.
The Larsen & Toubro Group is a USD 7 billion technology, engineering and construction company, with global operations. It is one of the largest and most respected companies in India's private sector.