Essar’s Iron Ore Handling Terminal at Vizag Port Registers Sharp Increase in Cargo Handling

Essar Steel’s iron ore handling terminal at Vizag Port boosting third party business and displaying Project & Operations prowess in Port Sector

1. Registers around 600% increase in cargo handling in Q1 FY 17 as compared to Q1 of FY16

2. Registers 922% increase in rake handling in Q1 FY 17 as compared to Q1 of FY16

3. Cargo handling expected to boost by more than 100% in FY 17 crossing 10 MnT boosting iron exports from India

4. Synchronized projects works and operations deliver excellence and registering highest iron ore loading rate in Vizag Port at 56,100 per day post-takeover

5. Complete mechanized facilities comprising of wagon tipplers for receiving cargo by rakes, transferring cargo through conveyor system to stackyard having multiple stackers & reclaimers and loading into vessels up to capesize through ship loaders with minimal human intervention

6. Spillage reduction, contamination and pollution reduction measures post-takeover deeply appreciated by various customers and users of Port

Post the taking over of Vishakhapatnam Port Trust’s (VPT’s) Iron Ore Handling Complex (OHC) on a Build-Operate-Transfer (BOT) basis for a period of 30 years in May’ 15, Essar Vizag Terminals Limited (EVTL), a wholly owned subsidiary of Essar Ports Limited (EPL) has boosted the EPL’s strategy of diversifying its customer profile. 

Through the addition of this facility EPL has seen its third party cargo share jump to more than 8% in FY 16 alone with the likes of JSW, NMDC/ MMTC etc.  Once upgraded the mechanized system will be able to reach a capacity of 8000 TPH, which will be one of the highest cargo-handling rate in Indian Major Ports.

During Q1 FY17, EVTL handled 2.19 MT (29 Vessels) of Cargo as against 0.31 MT (06 Vessels) in Q1 of FY16 on the backdrop of improving Indian Steel Sector performance and Project upgradation works.  EVTL is now operating with a net average loading rate of 3000 TPH as against <1000 TPH during Q1 of FY16 and is targeting to achieve 4000 TPH by Q2 of FY 17 along with simultaneous project upgradation.

Commenting on this Mr. Rajiv Agarwal – Managing Director, Essar Ports said: “This year Iron-Ore Terminal in Vizag Port had successfully started its operations from May’15 and has been undertaking simultaneous operations and Project works with excellent outcomes. The Terminal has boosted the third-party business and enhanced Essar Port’s presence on the East-Coast of India. Decades of experience of Essar in Port Sector has been the foundation which has helped deliver significant improvements in the Vizag facility in such a short time”.

Essar Ports expects enhanced Capacity Utilization during FY 17 and cargo handling to increase from 59 MMT in FY 2016 to 85 MMT in FY 2017, thereby registering a growth of more than 40% on year on year basis with third party cargo business to increase to more than 14% in FY 2017.