- Registers 598% increase in cargo handling in Q1 FY 2017 as compared to Q1 FY 2016
- Registers 922% increase in rake handling in Q1 FY 2017 as compared to Q1 FY 2016
- Records highest ever Iron Ore Loading Rate in Vizag Port, of 56,100 tonnes in one day
- Cargo handling to increase 100% in FY 2017; expected to cross 10 million tonnes (MT)
Post the taking over of Vishakhapatnam Port Trust’s (VPT's) Iron Ore Handling Complex (OHC) in May 2015, Essar Ports (EPL) has seen significant growth in its merchant cargo business.
The all-weather deep draft facility, operated by Essar Vizag Terminals (EVTL), has the capability to serve the rapidly growing markets of South-East Asia, including China, Japan, and Korea. It can accommodate super Capesize vessels and has dedicated rail connectivity with mine-head locations like Bacheli and Kirandul in the eastern region. It is also integrated with its Essar Steel (pellet plant) in Vizag through a fully mechanized conveying facility with 6.7 km shipping conveyor system.
Reaching 10 million tonnes in FY 2017
In the very first year of operation, the fully mechanized terminal recorded the highest ever Iron Ore Loading Rate at Vizag Port, of 56,100 tonnes in a day. EVTL is now operating with a net average loading rate of 3,000 TPH (tonnes per hour) as against less than 1,000 TPH during Q1 of FY 2016.
As a result, during Q1 FY 2017, EVTL handled 2.19 MT (29 vessels) of cargo, as against 0.31 MT (66 vessels) in Q1 of FY 2016.
A 3-year bi-lateral agreement between MMTC and South East Asian steel mills for supply of high grade Indian iron ore that mandates for shipment of 3.8 MT to 5.5 MT of high grade iron ore to steel plants in Japan and South Korea, per year till March 2018. EVTL is upbeat about catering to these requirements. Additionally, EVTL caters to JSW, ARCL and iron ore traders requirements of the region.
With the production of Essar Steel, EVTL’s anchor customer, also expected to increase significantly during FY 2017, the total cargo handling at the Vizag terminal is expected to double as compared to FY 16. Essar Steel has improved its performance by 121% in Q1 FY 2017 compared to Q1 FY 2016, which is also facilitating the surge in traffic at the Vizag Ore Handling Complex.
EVTL’s target of 10 million + tonnes of cargo in this fiscal is well within reach!