Mundra Port and Special Economic Zone Ltd (MPSEZ), a company promoted by billionaire Gautam Adani, has received a major jolt with a Union government panel rejecting its proposal to expand the SEZ area, reported DNA.

According to a state government official close to the development, the Board of Approval (BoA) on SEZs recently rejected the company's proposal to expand the SEZ area by 2008.41 hectares.

MPSEZ I and MPSEZ II, taken together, have a total area of 6,472.86 hectares. The company had requested for addition of more land, measuring 2008.41 hectares, to the already notified SEZ, thereby taking the total area to 8,481.27 hectares. But the BoA, at its meeting held in Delhi recently, rejected the proposal.