Abu Dhabi Ports Inks 30-Year Deal To Develop, Operate Egypt's Safaga Port Terminal
Date
12/28/2023 4:05:31 AM
(MENAFN- Daily News Egypt)
Abu Dhabi ports Group (AD Ports) has secured a 30-year concession agreement with the Red Sea Ports Authority (RSPA) to develop and operate the Safaga 2 multi-purpose terminal at Egypt's Safaga Sea Port. This strategic project, with a $200m investment over three years, marks the first internationally operated port in Upper Egypt on the Red Sea, paving the way for enhanced trade and logistics in the region.
The new terminal, spanning 810,000 square meters, will boast a 1,000-meter quay wall and cater to diverse cargo types, including dry bulk, liquid bulk, containerized shipments, and roll-on/roll-off (RORO) vessels. This versatility positions Safaga 2 as a vital link in the integrated logistics path of the Safaga-Qena-Abu Tartur cargo track, serving Upper Egypt's burgeoning needs, as emphasized by Egypt's Transport Minister, Kamel El-Wazir.
El-Wazir further highlighted the Egyptian government's significant contribution to the project, with EGP 3.6bn invested to date. With 85% of the infrastructure complete and the remainder on track for completion by April 2024, the stage is set for superstructure works to commence in the second quarter of next year.
Mohamed Juma Al-Shamisi, AD Ports Group's Managing Director and CEO, expressed his gratitude for the trust placed in their capabilities and experience.
“Safaga's strategic location opens doors not only for expanding our commercial offerings and diversifying revenue streams but also for contributing to Egypt's wider economic objectives,” he stated. Saif Al-Mazrouei, CEO of Ports Cluster at AD Ports Group, echoed this sentiment, emphasizing the potential for further cooperation and opportunities across various sectors.
This partnership strengthens the existing economic ties between the UAE and Egypt. The UAE currently stands as Egypt's second-largest regional trading partner, while Egypt holds the fifth position among the UAE's non-oil trade partners in the Arab world.
With the development of Safaga 2, AD Ports Group solidifies its commitment to driving trade and logistics progress in Egypt and the wider region.
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