New Delhi– Indian government on Tuesday said it has granted Rs 515 crore for making the Sagar Port project in West Bengal financially viable.

According to the Ministry of Shipping, a special purpose vehicle (SPV) — Bhor Sagar Port Limited (BSPL) — has been created for execution of the project. The SPV is a joint venture (JV) between Kolkata Port Trust holding and the West Bengal government.

The ministry said Kolkata Port Trust holding will have a 74 per cent equity stake in the JV firm, while the rest will be held by the government of West Bengal.

“IIT, Madras, has been engaged to prepare a detailed project report (DPR) for the port, involving studies for shore-protection, land reclamation and physical modeling for use of dredge material,” the ministry said in a statement.

As per the ministry, work is also underway for developing port connectivity.

“A road-cum-rail bridge is proposed over the river Muriganga to connect the Sagar island to the mainland,” the statement said.

“National Highways and Infrastructure Development Corporation Limited (NHIDCL) has prepared the DPR for this road-cum-rail bridge. The estimated cost of the bridge is Rs.1822 crores.”

The ministry elaborated that the Ministry of Road Transport and Highways has agreed, in-principle, to take up widening of NH-117 to a four-lane road from Kakdwip to Joka and up to the rail-cum-road bridge to the Sagar Island.

“The Railway Board has sanctioned a survey for determining the alignment to connect the Port with the mainland rail network,” the statement added.