DUBAI's DP World and the Saudi Ports Authority (Mawani) announced the signing of a 30-year agreement with an investment value of more than SAR500 million (US$133.33 million) to build a state-of-the-art, port-centric Logistics Park at the Jeddah Islamic Port.
The agreement aims to establish a logistics park which spans over 415,000 square metres, with an in-land container depot capacity of approximately 250,000 TEU and warehousing storage space of 100,000 square metres. Future expansions could increase the storage space to 200,000 square metres, according to media reports.
DP World signed a new concession agreement with Mawani in April 2020 to continue operating and managing the South Container Terminal at the Jeddah Islamic Port for the next 30 years, committing to invest a total of more than SAR3 billion ($800 million) to expand and modernise the terminal.
The overhaul project, which will take place over four phases and is set to be completed by 2024 will see infrastructural upgrades, including the broadening of draft depth and quay, and the installation of advanced equipment and technologies, automation and digitalisation programmes, in addition to decarbonisation initiatives.
When complete, the revamped terminal will nearly double Jeddah Islamic Port's container handling capacity from 2.5 million TEU currently to 4 million TEU.