State owned Hindustan Shipyard plans to build a large shipyard to accommodate very large crude carrier ships with an estimated project cost of INR 3000 crore to INR 4000 crore.

Mr Naresh Kumar CMD of HSL on the sidelines of SMM India’s shipping trade fair told PTI that the proposed shipyard, which will be built on a public private partnership model is expected to receive Cabinet approval by the end of this fiscal.

He said that “We will be building one shipyard in AP or Orissa. We expect the Cabinet approval for this by the end of this fiscal adding that the shipyard is expected to get operational in three to four years.”

He said that once the project receives Cabinet nod, the shipyard will start the process of inviting bidders.

Mr Kumar said that the first phase of the project would involve ship repairing while building of VLCC vessels will start in the second phase. The estimated project cost for the first phase is INR 1000 crore.

(Sourced from Business Line)