DP World Sees Volume Rise, Starts Building USD 1.6 bn Terminal at Jebel Ali
- Business & Finance
DP World Limited handled 30.6 million TEU across its global portfolio of container terminals during the first half of 2015, with gross container volumes hike of 4.1% on a like-for-like basis.
On a reported basis gross volumes grew by 4.2%, Dubai-based terminal operator said.
Growth in the first half was attributed to European and UAE terminals.
The UAE delivered solid performance handling 7.9 million TEU, representing growth of 6%, whereas Europe continued to show steady growth despite the difficult geopolitical environment.
The Asia Pacific and the Indian subcontinent region delivered an improved performance in the second quarter and the recent capacity addition at Nhava Sheva (India) should provide further room for growth, DP World’s half year business report said. Performance at the Americas and Australia region has been broadly flat due to soft economic conditions.
DP World’s portfolio of consolidated terminals handled 14.4 million TEU during the first half of 2015, a 3.5% improvement when compared with the same period last year. On a like-for-like basis, consolidated volumes also increased 3.5%.
“I am pleased to report that we have made good progress with our new developments, with Rotterdam (Netherlands) and Nhava Sheva (India) now operational whilst Yarimca (Turkey) is on track for launch in the fourth quarter of 2015. Additionally, the proposed acquisition of Fairview Terminal in Canada is expected to close in the second half of this year, which will enhance our Americas portfolio,” Chairman Sultan Ahmed Bin Sulayem commented.
DP World Chairman also announced the start of construction work on a brand new container terminal at Jebel Ali Port, Dubai.
“Our flagship Jebel Ali Port continues to respond to market demand and we are on track to deliver an additional 2 million TEU’s of capacity in Terminal 3 in the second half 2015. Despite the new capacity additions, Jebel Ali continues to operate at high levels of utilisation and given the strong domestic and regional growth outlook including the lead up to Expo 2020 , we are delighted to announce construction of Terminal 4, which will deliver phase one new capacity of 3.1 million TEU by 2018,” he added.
The expansion is expected to take total Jebel Ali capacity to 22.1 million TEU. The port complex will be equipped with at least 110 cranes with a total quay length of around 11,000 metres by that time.
T4 will be located on a reclaimed island north of the existing Terminal 2 allowing DP World to further expand capacity to a total of 7.8 million TEU in line with market demand. As part of the project, a bridge is being built to provide access to the island from land near Terminal 2. Work is scheduled to get the 3,000 metre causeway and bridge partially open to traffic before the end of 2015.
“Today, Jebel Ali has the capability to accommodate ten of these mega container ships simultaneously. The new state-of-the-art facility at Terminal 4 will increase this number significantly,” HE Sultan Bin Sulayem added.