Abu Dhabi Ports Company (ADPC), the owner of Fujairah Terminals, has signed an agreement worth $136.1m (AED500m) to develop the Port of Fujairah, it has been revealed.
Under the terms of the agreement, which is supervised by the Ministry of Presidential Affairs, ADPC will develop the port infrastructure, including the deepening of berths and the establishment of quays and storage areas.
The development of a 1,000m quay and a 300,000m² storage yard, and the deepening of berths to a draft of 16.5m are expected to increase the ports capacity and enable the arrival of larger vessels, UAE state news agency, WAM, reported.
The agreement was signed by Ahmed Juma Al Za'abi, Deputy Minister for Presidential Affairs and Chairman of the Follow-Up Committee of the Initiatives of the UAE President, and Dr Sultan bin Ahmad Sultan Al Jaber, Minister of State and Chairman of Abu Dhabi Ports Company, in the presence of HH Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs.
The project comes in line with the directives of President HH Sheikh Khalifa bin Zayed Al Nahyan and the follow-up of HH Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces.
Zaabi said, “Port of Fujairah is considered one of the key multi-purpose ports in the UAE and the entire region, playing a significant role in the development drive embraced by the UAE government.”
“Fujairah Port is one of the key economic, commercial, and logistics hubs not only in the emirate, but in the entire nation, on account of its important strategic location overlooking the Pacific Ocean, at the crossroads of shipping lines between East and West," Jaber said.
“The development of the port infrastructure will certainly strengthen the port's position in the world maritime transport map and reinforce the country's stature as a key strategic and trade destination," he said.
According to WAM, the Port of Fujairah serves as a hub for activities targeted at the markets of the Indian sub-continent and East of Africa, and is the only multi-purpose port on the Eastern seaboard of the UAE, approximately 70 nautical miles from the Straits of Hormuz.
Construction of the port started in 1978, with full operations commencing in 1983.
Several enhancements to both the port’s facilities and functions have since been carried out in a bid to increase its container handling potential to one million and 700,000 tonnes of cargo by 2030.
ADPC recently signed a 35-year concession deal to develop container terminal operations at the port, with the agreement granting the company exclusive rights to develop the port infrastructure and manage its operations.