Aegis Vopak’s ₹16.75 Billion JNPT Splash: A Big Boost for Cleaner Fuel Storage Amid Strong Q1 Sparks

Aegis Vopak Terminals Ltd. (AVTL), India’s leading third-party tank storage operator, has announced a major capital expenditure of ₹16.75 billion for the development of a greenfield terminal at Jawaharlal Nehru Port (JNPT), Navi Mumbai. This strategic investment marks a significant milestone in the company’s ongoing expansion and its commitment to supporting India’s energy infrastructure and transition to cleaner fuels.

 

This announcement comes on the heels of a robust financial performance for the quarter ended June 2025, where AVTL reported consolidated revenue from operations of ₹1.64 billion and a net profit of ₹477.2 million. The results underscore the company’s operational efficiency and its growing dominance in the liquid and gas storage sector.

 

Strategic Expansion at JNPT

The ₹16.75 billion greenfield investment at JNPT is part of AVTL’s broader ₹9,000 crore capex plan under “Project GATI,” aimed at enhancing infrastructure for alternative energies and sustainable feedstocks. The new terminal will cater to a wide range of products including LPG, ammonia, liquid organic hydrogen carriers, and other low-carbon fuels.

 

JNPT, being one of India’s busiest and most strategically located ports, offers AVTL a gateway to scale its operations and serve both domestic and international clients more efficiently. The terminal is expected to feature advanced jetty connectivity, truck loading stations, and pipeline infrastructure, aligning with AVTL’s commitment to safety, sustainability, and operational excellence.

 

Financial Highlights: June Quarter 2025

AVTL’s June quarter results reflect strong fundamentals and growth momentum:

The company’s high operating margins and efficient cost structure continue to set it apart from peers. Its strategic port locations and rail connectivity, especially at Pipavav and Kandla, contribute to faster evacuation and reduced logistics costs.

 

Sustainability and Energy Transition

AVTL’s expansion is not just about scale—it’s about sustainability. The company is actively repurposing existing infrastructure and building new facilities to support India’s energy transition. This includes terminals for ammonia, carbon dioxide, and long-duration energy storage.

 

Murad Moledina, Non-Executive Director, emphasized AVTL’s role in enabling renewable energy logistics:

 

“We aim to be at the forefront of India’s energy transition by developing infrastructure for low-carbon and renewable hydrogen, sustainable fuels, and feedstocks.”

 

IPO Momentum and Market Confidence

AVTL recently launched a ₹2,800 crore IPO, which received strong investor interest. The funds are earmarked for debt repayment (₹2,016 crore), acquisition of a cryogenic LPG terminal at Mangalore (₹671.3 crore), and general corporate purposes. The IPO was priced between ₹223–₹235 per share, with a grey market premium suggesting a potential listing at ₹251.

 

The company has allotted over 53 million equity shares to 32 anchor investors, raising ₹1,260 crore ahead of the IPO. Promoter holding post-issue stands at 85.9%, down from 97.4%, reflecting healthy market participation.

 

Market Position and Operational Footprint

AVTL operates 20 tank terminals across six key Indian ports including Haldia, Kandla, Pipavav, Mangalore, Kochi, and the upcoming JNPT terminal. It handles over 20% of India’s LPG imports and 23% of liquid imports, making it a critical player in India’s energy logistics.

 

With a liquid storage capacity of 1.7 million cubic meters and LPG capacity of 201,000 MT, AVTL commands:

Its strategic connectivity to the Western Dedicated Freight Corridor further enhances its logistics capabilities.

 

Outlook

AVTL’s aggressive expansion, strong financials, and sustainability focus position it as a key enabler of India’s energy future. The JNPT greenfield terminal is expected to be a game-changer, boosting capacity and reinforcing AVTL’s leadership in the sector.

 

As India pivots toward cleaner fuels and energy security, AVTL’s infrastructure investments and operational excellence will play a pivotal role in shaping the country’s energy landscape.

 

Sources: ET Now, Economic Times, Capital Market, MarketsMojo, AVTL Official Website