Construction works on the USD 1.5 billion Tema Port expansion project are expected to commence on October 1, 2016, according to Ghana Ports and Harbours Authority (GPHA).
Meridian Port Services (MPS), a joint venture between APM Terminals, Bolloré Africa Logistics (Meridian Port Holdings) and the Ghana Ports and Harbours Authority (GPHA), has awarded the contract for the expansion of the port to the China Harbour Engineering Company and AECOM.
The Tema project will result in four deep-water berths, a new breakwater and an access channel able to accommodate the world’s largest containerships, according to APM Terminals. The expansion works will add 3.5 million TEUs in annual throughput capacity.
The new project consists of both greenfield port outside the present facility and a needed upgrade of the adjacent road network.
Scheduled to be completed by the fourth quarter of 2019, the project is expected to expand trade flows and links across West Africa, GPHA said.
The immediate cash-flow need for the project realization is USD 1 billion. MPS has signed a USD 667 million financing package with the International Finance Corporation (IFC), a member of the World Bank group, while the MPS shareholders will provide the rest of the funding amounting to USD 333 million.
Back in November 2014, MPS and GPHA inked an initial memorandum of understanding (MoU) for the expansion plans.
In June 2015, MPS formally signed an agreement to invest USD 1.5 billion in the new port and logistics hub in Tema.