US$ 1.7bn allocated for further project development and renovation
The Red Sea Gate Terminal (RSGT) has significantly expanded its operational capabilities and capacity at Jeddah Islamic Port on Saudi Arabia’s western Red Sea coast.
Wednesday, 1 April 2020, marked the official commencement of RSGT’s take-over of operations in the northern section of Jeddah Islamic Port (previously known as North Container Terminal (NCT).
It may be recalled that a new long-term, 30-year concession agreement for the existing north port facility was successfully reached at the end of last year between RSGT and the Saudi Arabian Ports Authority, (Mawani). The deal calls for US$ 1.7bn of investment in infrastructure, equipment and technology by 2050, with annual container throughput capacity growing to 8 million TEUs.
“As we begin operations at the northern part of Jeddah Islamic Port, we are very proud to commemorate this tremendous milestone of the RSGT growth strategy, demonstrating our ongoing and long-standing commitment to expansion, modernization, and world-class terminal services,” stated Jens O. Floe, CEO, RSGT.
RSGT empowered
By 2023, the expanded RSGT, covering an area of 1.5 million sqm, will have increased annual container throughput capacity to 5.2 million TEUs. Already able to accommodate Ultra-Large Container Ships (ULCS) of 20,000 TEU class and above, at the end of the first three-year phase of investment, RSGT will be empowered with 24 Super Post-Panamax quay cranes, 67 Rubber-Tyred Gantry Cranes (RTGs), and will offer 4,900 Reefer plugs.
“This carefully planned program of growth and investment will firmly establish RSGT as the largest logistics gateway, and the busiest container terminal, in Saudi Arabia, and on the Red Sea,” affirmed Floe.
Red Sea Gate Terminal has already signed an Islamic financing and funding agreement for the project with two of the top Kingdom’s banking institutions—Banque Saudi Fransi and Al Rajhi Bank.
“We are looking forward to executing this outstanding project and thank the Government of the Kingdom of Saudi Arabia, the Ministry of Transportation and Mawani for their foresight and trust in our ability to continue to bring excellence to the trade,” asserted Floe.
RSGT—a maritime powerhouse
Red Sea Gateway Terminal (RSGT) is an international terminal operator representing a strong and effective partnership between the Saudi Industrial Services group SISCO and the Malaysian Mining Company (MMC).
Their combined assets, handling capacity and experience place the terminal operations among the ten largest container terminal operators globally, with a combined annual handling capacity of 20 million TEU, and equity-weighted throughput of over 10 million TEUs.
The largest terminal operator on the Red Sea, RSGT is committed to regional and global infrastructure and facility investment to better serve the growing requirements of domestic cargo and container services, as well as assuming a larger role in the global logistics chain through targeted international expansion.
