| OMC to acquire 9% stake in Angul-Sukinda rail project by RailXpert on 01 October, 2013 - 02:59 AM | ||
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 RailXpert | OMC to acquire 9% stake in Angul-Sukinda rail project on 01 October, 2013 - 02:59 AM | |
State controlled miner Odisha Mining Corporation is set to pick up nine per cent stake in Angul-Duburi-Sukinda Special Railway, a special purpose vehicle formed to implement the INR 1100 crore rail link project.The state government will hold 10% stake in the SPV through its two PSUs of which nine per cent equity will be of OMC and the residual one per cent of Odisha Industrial Infrastructure Development Corporation.Mr Saswat Mishra CMD of OMC said that "OMC has given its consent to pick up nine per cent stake in the Angul-Sukinda rail link project. We are now awaiting a formal proposal from the SPV.”In the SPV, Rail Vikas Nigam Ltd holds 45% stake while Jindal Steel & Power Ltd and Bhushan Steel & Power Ltd have 25% and 20% equity respectively.Construction work on the Angul-Duburi-Sukinda Road rail link project, projected as the life line of the fast growing industrial belt, was expected to take off by end of April 2013. But commencement of work on the project was delayed due to pending land acquisition and also delay in decision making by OMC to acquire stake in the project. While Idco had earlier confirmed its one per cent equity participation in the SPV, dithering by the OMC was hampering the availability of loan and implementation of the project. | ||