The approval was given at a high level meeting presided over by Chief Secretary A P Padhi on Tuesday, an official said.
The expansion will help the company achieve its vision 2020 of 200 MMT, well ahead of time and we now aim to touch 500 MMT by the year 2025, APSEZ CEO Karan Adani said.
Adani's Ennore and Vizhinjam ports are currently under construction and will start operations in October and December respectively. It currently has 8 operating ports.
Dhamara Port Company Limited (DPCL) chief executive officer Santosh K Mohapatra said: " DPCL had sought 700 acres of land for the expansion project which was sanctioned by the state government. We will begin work on expanding the port capacity soon."
Despite 40 road assets and more than 10 power projects being on the block for over several months now, many cash-rich players have shifted their focus to the ports sector, which, according to them, will give them higher returns.
Adani Ports and Special Economic Zone Ltd (APSEZ) is set to buy the Odisha based Dhamra port. When CNBC-TV18 spoke to Santosh Mohapatra, CEO of Dhamra Port, he said the issue was promoter related and therefore, he cannot comment.
Tata Steel today ruled out any immediate plans to exit from Dhamra port in Odisha, even as its joint venture partner Larsen and Toubro is looking for buyers to offload its 50 percent stake.