By Angela Giuffrida
Saudi Arabia teams up with Malaysian firm to deliver US $443 million project, which will expand capacity by 45%
Saudi Trade and Export Development Company (Tusdeer) has teamed up with Seaport Terminal of Malaysia to build a massive third container terminal at Jeddah Islamic Port.
The US $443 million (SR1.6 billion) project will be implemented on a build-operate-transfer (BOT) basis and will take three years to complete.
Dredging work is expected to begin by mid-2007.
The new terminal will be built on reclaimed land along the re-export zone at Jeddah Islamic Port and is expected to handle up to two million 20ft equivalent unit (teu) containers a year.
It will also have Super-Post Panamax quay cranes, berth depths of over 18m and an independent 165.5m deep navigation channel, which will be equipped to accommodate the biggest and latest container vessels under design.
The terminal will include a handling and storage area covering around 400,000m2.
“The project will expand Jeddah Islamic Port’s capacity by 45% and help maintain Jeddah’s lead as the hub port of the region,” said Mohammed A Zainal Alireza, chairman, Tusdeer.
The new terminal is also expected to contribute to the planned Land Bridge project with the completion of the Saudi Railways Project, creating a fast and efficient land-based link from the Red Sea to the Gulf.
Tusdeer is a subsidiary of the Saudi Industrial Services Company (SISCO) and was established to develop and operate the first re-export zone at Jeddah Islamic Port.
According to SISCO Chairman Saleh Hefni, the initial designs for the terminal were created taking into consideration the latest, next generation technologies in the marine transport field. “The terminal will be supported by advanced IT systems to facilitate a free flow of updated information and provide near paperless transactions between port personnel, shipping lines, marine services and freight forwarders,” he said.
Seaport Terminal of Malaysia has a 20% stake in the project.