Subarnarekha Port

Subarnarekha port is a deep-water, all-weather port proposed to be constructed at the mouth of Subarnarekha River in Balasore district of Odisha state in India.

Background

Over a period of 40 years there was only one port in Odisha at Paradip.

Government of Odisha made a study through IIT Madras to find out regions having potential for development of Ports.

Thereafter, in order to facilitate the setting up of new ports with participation of private parties the state government had formulated in 2004 a separate port policy. By which new ports were established which are Gopalpur Port and Dhamara Port. Later more two ports got approval to be established were Port at Astaranga and another at mouth of the Subarnarekha river

Development

The Government of Odisha has signed a memorandum of understanding with Chennai-based Creative Port Development Pvt. Ltd and TATA Steel For the development of a deep-water, all-weather project at the mouth of the Subarnarekha. The Subarnarekha Port project was being taken up on a 50-year build, own, operate, share and transfer (boost) basis. The development would include a dedicated rail cum road connection from the port to the NH 5 and rail network at Jaleswar. The port will have an initial capacity to handle 10 million tonnes per year.

The work on the proposed port has been delayed because of a legal tussle between the promoters and venture capital investors of the company. The Promoter aggrieved by their Venture partners had filed an oppression & Mismanagement case under sec 397,398 & 402 of the Companies Act 1956 in the Company Law Board(CLB). The CLB has given a verdict in favour of the promoter shareholders. The Venture Capitalist has been ordered to exit from the Promoter's Company as well as Kirtania Port Project at a price of Rs. 52.50 Crore.