DP World and the government of Senegal, have signed agreements for the development of a deepwater port, with US$837m investment in the first phase.
The new port at Ndayane is approximately 50kms from the Port of Dakar (PAD). DP World’s concession for the Port of Dakar already includes a plan to develop a new container terminal alongside the existing container terminal in the Port of Dakar. However, it has been agreed that it would be more appropriate for Senegal’s development to carry out a more ambitious project and build an entirely new port outside of the city.
Sultan Ahmed bin Sulayem, group chairman and CEO of DP World, said: “This will be DP World’s biggest port investment in Africa to date, and is a testament to our commitment to Senegal and belief in its potential for further economic growth. The new port will create jobs, attract new foreign direct investment to the country, and enable new trading opportunities that bring about economic diversification.”
DP World Dakar SA, the local joint venture company between DP World and PAD, will develop and operate the 300-hectare (ha) container terminal, plus finance, design and develop the land and maritime infrastructure of the new 600ha port. The first phase of this project will see an investment by DP World Dakar of US$837m, which will make it the single largest private sector investment in the history of Senegal and is expected to be followed by the second phase of investment of US$290m.
Phase 1 will include a new container terminal with 840m of quay and a new 5km marine channel designed to handle 366m vessels and capable of handling the largest container vessels in the world. Phase 2 will create 410m of additional container quay and further dredging of the marine channel to handle 400m vessels.
The first phase of the Ndayane Container terminal will be operated alongside the existing DP World Dakar container terminal. Due to the Government’s vision for the development of the Port of Ndayane as a site for the next 100 years of port activities in Senegal, the container terminal will eventually have over 3 km of the quay and 300 ha for the container yard. This will enable the existing Port of Dakar to be redeveloped into a mixed-use residential and commercial waterfront and cruise terminal.
Meanwhile, a preferred bidder has been selected to enter into discussions with the Government of Angola for a 20-year concession and operation of the Multipurpose Terminal (MPT) at the Port of Luanda in Angola.
Following an international tender process and the subsequent announcement, last month of DP World’s selection by the evaluation committee set up by the Angolan Ministry of Transport, DP World and the Angolan Government have now entered into formal discussions on the concession agreement.
Sultan Ahmed bin Sulayem, group chairman and CEO of DP World, said: “We believe in Angola’s strong potential for further economic growth and are keen to play our role in the country’s development. Angola’s location on the Atlantic Ocean in Southern Africa means it has the opportunity to benefit from flows of trade into the surrounding region. DP World has a strong track record in Africa and across the world, of operating ports and logistics businesses to the highest standards, creating trade corridors, and contributing to the economic growth in the countries in which we work.
“We look forward to working closely with the Government of Angola on the concession agreement and would like to thank them for the opportunity to forge a partnership with us.”
US$190m investment planned
DP World plans to invest US$190 million over the 20-year period of the concession, with plans to rehabilitate existing infrastructure and acquire new equipment to bring operations in line with global standards and improve the efficiency of the MPT, with the broader aim of increasing annual throughput to approximately 700,000 TEUs per year. The plan also includes the training and development of existing staff. The MPT at the Port of Luanda handles both containers and general cargo. It has a quay of 610 meters with a depth of 12.5 meters and a yard of 23 hectares. This will be the first seaport terminal located on the western coast of Southern Africa to be operated and managed by DP World, and will further extend the company’s footprint in Africa