AD Ports Group and Red Sea Port Authority initial 15-Year Concession Agreement

Total investment of US$ 3mn over the duration of the concession

AD Ports Group recently initialled a 15-year concession agreement with the Red Sea Port Authority (RSPA), to operate and manage three cruise terminals at Safaga, Hurghada, and Sharm El Sheikh ports.

The agreement also encompasses the renovation of the Sharm El Sheikh terminal, with the ultimate aim of enhancing the cruise tourism experience in Egypt. A definitive concession agreement is expected to be concluded in the first quarter of 2024, subject to regulatory approvals.

The concession agreement was initialled in the presence of HE Lieutenant-General Eng. Kamel El Wazir, Egypt’s Minister of Transport, by Major General Mohamed Abdel Rahim, Chairman of the Board of Directors of the Red Sea Ports Authority and Ahmed Al Mutawa, Regional CEO, AD Ports Group, at the offices of the Egyptian Ministry of Transportation in New Capital City–Cairo.

Investment

The collaboration will see AD Ports Group investing US$ 3mn over 15 years in the management and operation of the three cruise terminals to provide new services, improve access for cruise operators and add new itineraries through the Group’s cruise terminal network in the red sea.

“With an investment of US$ 3mn, AD Ports Group is poised to boost cruise tourism in the Red Sea, bringing world-class services and facilities to these ports, whilst supporting economic growth for Egypt,” noted Al Mutawa.

This latest partnership comes in the wake of the signing of a definitive concession agreement between AD Ports Group and RSPA for the development and operation of a multi-purpose terminal at Safaga Sea Port.