The Indian Government has signed a $76 mill loan agreement for a project to upgrade the environment management plan at Alang-Sosiya ship recycling yards.
The total cost of the project will be $111 mill, out of which the $76 mill will be provided as soft loan from Japan International Cooperation Agency (JICA), local sources said.
Out of the remainder, $25 mill as taxes and fees will be borne by Government of Gujarat and the balance of $10 mill will be shared by Ministry of Shipping and the Government of Gujarat.
The project, which would be undertaken by Gujarat Maritime Board (GMB), is likely to be completed by 2022, the sources said.
The Indian government reportedly said that the project would also help safeguard the marine and coastal environment. The use of advanced de-contamination technology would rule out the possibility of fire accidents in oil and chemical tankers, the authorities claimed.
In the recycling market, brokers reported that the 1993-built Suezmax ‘Nataly’ had been sold to Bangladesh recyclers for $405 per ldt and that the 1995-built Aframax ‘M Spirit’ was also sold to Bangladesh interests for $385 per ldt.
Source: tanker operator. 22 September 2017