Cochin Shipyard pulls out of Chennai project.

Cochin Shipyard Ltd. (CSL) has pulled out of a project to develop a dry dock and ship repair facility at the Chennai port as it was not financially viable, according to sources.

State-owned CSL had applied for the Rs. 250-crore project with the private sector not participating in the bid.

In the pre-bid meeting early this year, CSL and one private player, Tebma Shipyards, had participated. But even CSL, which has the largest shipbuilding and maintenance facility in India, did not submit a bid, but put in an application after the tender process was over.

This was treated as an 'Expression of Interest' for the project, which was awarded on a mutual agreement on terms and conditions.

The company carried out a techno-commercial study, and a consultant, Kitco, also made a site visit in March.

However, CSL recently communicated to the Chennai Port Trust that the project was not financially viable, sources said.

HBL