[151112.EN.SEA] Saudi Port Authority To Invest Throughout Kingdom In Port Development

THE Saudi Port Authority recorded 5.15 per cent growth in imports and exports in the first half of the year at the Jeddah Islamic Port, with volumes increasing to 3.6 million tonnes. Total tonnage throughput is forecast to grow by 29.5 per cent this year.

The port is also expected to achieve an average increase of 10.9 per cent per annum through to 2016.

Drewry Singapore expects the port will handle 4.7 million TEU in 2012, with a total capacity of 5.3 million TEU.

The growth at the Red Sea Gateway Terminal in Jeddah last year was said to be led by business from the United Arab Shipping Company and China Shipping Container Lines, which is expected to contribute 1.5 million TEU by the end of this year.

Saudi Arabia's vision for maritime sector growth will be highlighted at Seatrade Middle East Maritime (SMEM) 2012 in Dubai from November 27-29.

A report by Rotterdam's Dredging Today said the Saudi Ports Authority and King Abdul Aziz Port together plan to spend US$914 million on port development in the Kingdom.

According to a September 2012 survey commissioned by Seatrade, conducted by Drewry Maritime Research, container activity in the Kingdom accounted for one-fifth of regional throughput in 2011, with 5.69 million TEU.

Among the Saudi Ports Authority's $164 million development plans is a $51 million power plant, which will be developed at King Abdulaziz Port in Dammam to raise power generation capacity from 50 megawatts to 120 megawatts.

Also in the pipeline is a new container terminal in Dhiba Port at a cost of $46 million and two further container terminals at King Fahd Industrial Port in Jubail costing $38 million to be completed by 2014.

More than $750 million is being invested into the growth of Dammam's King Abdul Aziz Port, with $535 million set aside for container terminal capacity expansion. In the first half of this year, container throughput rose by 10 per cent compared to the previous year.

A second container terminal is due to open in 2015 with Saudi Global Ports LLC developing the hi-tech facility, which will have a quay length of 1,200 metres and 12 quay cranes, with an initial annual handling capacity of 1.8 million TEU, upon completion.

"The southwest of the Kingdom is similarly set to benefit from maritime investment with a new deep-water facility forming an integral part of the Jizan Economic City project," said Chris Hayman, chairman of Seatrade.

Source : HKSG.