Hutchison Ports to build US$730m container terminal in Egypt
HONG Kong's Hutchison Ports, the world's leading port investor, developer and operator, has signed a long-term agreement with the Egyptian Navy on the development and operation of a new container terminal in Abu Qir, Egypt
HONG Kong's Hutchison Ports, the world's leading port investor, developer and operator, has signed a long-term agreement with the Egyptian Navy on the development and operation of a new container terminal in Abu Qir, Egypt.
The total investment in the new terminal is estimated to reach US$730 million, the company said in a statement.The new facility is located inside the Abu Qir Naval Base and the greenfield project will be connected to a new two-way highway with 3 traffic lanes on each side and a residential bypass, linking it to Alexandria within 20 kilometres. It will also be linked to the national road network to the capital city of Cairo and other major cities across the country.
Speaking at the online signing ceremony, the naval Commander in Chief Vice Admiral Ahmed Khaled Saied, said: 'The development of Abu Qir signifies the continuation of our successful partnership with Hutchison Ports, the world's renowned port investor and operator. We are seeing an increase in export cargoes, there is a need for a world-class container terminal to facilitate growing trade.'
Commening on the significan of the project, group managing director of Hutchison Ports, Eric Ip, said: 'We have been investing in Egypt since 2005, and it has always been an important market to us justified by the country's growing population and economy that are fueling container trade.
'The pandemic has created many challenges globally, I strongly believe that as a company we are resilient, and I remain positive about the strength of a rebound in global demand.'
The new terminal, with a draft of 18 metres and capable of handling mega vessels, will be funded primarily by the joint investment of the two partners in phases, with handling capacity of 2 million TEU upon completion. It will have a total quay length of 1,200 metres and a 60-hectare terminal yard, additional 100 hectares of land exclusively reserved for yard expansion. The new terminal has a concession period of 38 years and the first phase is expected to commence operations in 2022, the company said.