The Qingdao port will complement DP World's existing presence in the Chinese ports of Tianjin and Yantai.
Abu Dhabi, Nov. 14
DP World (Dubai Ports World) has signed an agreement with the Qingdao Government, China, to develop a greenfield site in Qingdao, which the port operator will develop into a new container terminal with an investment of $500 million.
The terminal, 100 per cent owned by DP World, will consist of a quay measuring 1,320 metres in length across four deep draft berths and will have a capacity in excess of 2 million TEU. It is expected to commence operations by 2008-09, according to report by the official Emirates News Agency, WAM.
Qingdao, located in the Shandong Province in Eastern China, is home to the country's third largest container port which handles in excess of 6 million TEU annually.
The Qingdao port will complement DP World's existing presence in the Chinese ports of Tianjin and Yantai. The terminals operated by DP World this year will handle an estimated 12.5 million TEU which include ports from the Americas to Asia.
There are a number of significant projects in the pipeline that will strengthen the DP World network, including developments in India, Asia and West Asia. In February 2005, an agreement with the Kochi Port Trust was signed to construct, develop and operate an international container transshipment terminal at Vallarpadam in Kochi. It is the largest single operator container terminal currently planned in India and the first in the country to operate in a special economic zone. The new terminal will make Kochi a key centre in the shipping world reducing India's dependence on foreign ports to handle transshipment.
One cornerstone project, which underlines DP World's position as a major player in Asia, is the development of Pusan Newport, South Korea. DP World has a 25 per cent interest and management contract for this 9-berth facility, which will have a capacity of 5.5 million TEU. It is currently under construction and is expected to be operational by 2006.
It is also developing port terminals in other UAE Emirate and is bidding for container terminal operations in Aden Port. The port operator also has interests in logistics businesses in Hong Kong and China, notably ATL, the leading logistics operator based at Kwai Chung in Hong Kong.