Biznextindia: GMR Airports Limited (GAL), a subsidiary of GM Rao controlled GMR Infrastructure Ltd, on Monday, announced that it has received the Letter of Award (LoA) for the development and operations of a Greenfield international airport at Bhogapuram in Andhra Pradesh from the state government.
In February 2019, GAL had emerged as the highest bidder for the project on a Public-Private Partnership (PPP) basis.
The proposed Bhogapuram Greenfield airport site located on the border of Visakhapatnam and Vizianagaram districts. It is approximately 45 kms from Visakhapatnam through NH-5 and 25 kms from Vizianagaram via NH-43.
“We are very happy to be partnering with Government of Andhra Pradesh to develop, operate and manage the prestigious Bhogapuram International Airport. We are excited about the potential of this region” GBS Raju, Business Chairman GMR Airports said.
The project involves design, build, finance, construction, development, up-gradation, modernization, operation and maintenance of Greenfield International Airport at Bhogapuram for the period of 40 years, extendable by additional 20 years through an international competitive bidding process, with GMR airports limited having RoFR of 10%.
In Calendar Year 2019, the existing civil enclave at Vishakapatnam Naval Airfield has handled 2.78 million passengers and about 4400 Tons cargo. Over the past 5 years the passenger traffic at the Vizag airport has grown at 21% CAGR while the Airport ranks 5th amongst the custom airports in India in terms of Cargo traffic.