AD Ports Group has signed a definitive concession agreement with the Red Sea Ports Authority (RSPA) for the development and operation of a multi-purpose terminal at Safaga Sea Port.
As informed, the Safaga Port definitive agreement was signed at the Egyptian Cabinet headquarters in Cairo. The agreement is sanctioned under the Law on the Granting of Commitment Contract issued on November 1.
This collaboration will see an investment of $200 million over 3 years, aimed at developing “a state-of-the-art facility” within the strategic location of the Red Sea and will be the first internationally operated port serving the Upper Egypt region.
The total investment will cover superstructure, equipment, buildings, and utilities within the concession area to create advanced facilities and leading-edge infrastructure.
The terminal, spanning approximately 810,000 square meters, will feature a 1,000-meter quay wall and will handle diverse cargo types, including dry bulk, liquid bulk, containerised cargo, and Ro-Ro.
This project is expected to bring substantial economic impact, with cost savings and efficiency improvements to traders and businesses in the region. The terminal is on track to become operational by 2025, according to AD Ports.
“We are delighted to have signed the definitive concession agreement to develop and operate a multi-purpose terminal in Egypt’s Safaga Port. The confidence and trust placed by the Egyptian government and our partners is a testament in AD Ports Group’s capabilities and experience in developing ports and terminals infrastructure. With this project, our Group will demonstrate its commitment to enhancing the efficiency of global supply chains, creating faster trade routes and providing diverse logistics solutions for our key strategic trading partners,” Mohamed Juma Al Shamisi , Managing Director and Group CEO, AD Ports Group said.
“This significant milestone embodies the strength of trade ties between the two nations and the keenness of the UAE’s wise leadership to continue supporting the ambitious development plans of the Egyptian government. Through this agreement, we aim to spur economic development, create jobs, boost local industries, and attract further investments into the region. We look forward to working closely with our partners to make this vital project a success.”
“AD Ports Group’s expertise in port infrastructure development and operations positions us uniquely to leverage those skills and knowledge to play a key role in the next stage in the evolution of Safaga Port. Moreover, Safaga’s strategic position on the Red Sea coast allowing to not only enhance our commercial offerings and diversify revenue streams, but also contribute to Egypt’s broader economic objectives, setting the stage for further cooperation and opportunities in other sectors,” Saif Al Mazrouei , CEO of Ports Cluster at AD Ports Group, said.
In June this year, AD Ports signed a concession agreement with Karachi Port Trust (KPT), the Pakistani federal government agency that oversees the operations of the Port of Karachi.