The memorandum of understanding (MoU )was signed here on Thursday between NYLIC director Anne Pollack and GPPL chairman Nikhil Gandhi in presence of Gujarat chief minister Keshubhai Patel, besides NYLIC vice-president Stanely Tai and Pamella Stewart.

It was in pursuance of the Gujarat government's privatisation policy that Pipavav port was promoted by Mumbai-based Sea King Infrastructure Ltd (SKIL) and Nikhil Gandhi. It was commissioned in 1992 with direct berthing facility. Over Rs 400 crore have been spent so far on the port, equipped with state-of-the-art cargo-handling equipment with zero waiting time and hassle-free regulatory clearances.

The port is scheduled to be linked to the broad gauge railway line by December 2001. In fact, according to a GPPL spokesperson, NYLIC legal counsel Michael Watson hinted that his company could invest up to US$ 50 million (Rs 225 crores) in SKIL's other infrastructure projects in Gujarat, including special exports promotion zone at Positra in Gujarat. While SKIL hold the controlling stake in GPPL, PSA Corporation of Singapore and UK-based Commonwealth Development Corporation (CDC) had also joined GPPL earlier as equity partners. NYLIF now intends to focus on investment in the state's infrastructure projects. In all, 383 projects with an investment of Rs 116,000 crore have been identified in the state to be developed in the decade. The 154-year-old NYLIC has generated life insurance covers of over US$ 500 billion with US$ 132 billion assets under management.