National Highways Authority of India (NHAI) has signed a concession agreement with Punj Lloyd Ltd and IL&FS Ltd, for the construction of a four-lane highway between Belgaum (in Karnataka) and the Maharashtra border.

The project, to be implemented on annuity basis, involves construction of a 77 km long stretch of road from Km 515 to Km 592 of National Highway no.4. Two of the four lanes on the highway would be of concrete. The work includes construction of six major bridges, 12 minor bridges, six underpasses, 158 culverts and 69 km of service roads besides huge quantity of earthwork.

The project would be set up by a special purpose vehicle (SPV) North Karnataka Expressway Ltd. The SPV would implement the project and maintain the highway for 15 years after rehabilitation, strengthening and widening. The annuity amount in the project is Rs.50.51 crore.