AD Ports and CMA CGM partner on Congo terminal: UAE’s AD Ports Group and French logistics solutions company CMA CGM partnered on a JV to develop and operate the New East Mole multipurpose terminal in Pointe Noire, Congo-Brazzaville, for which AD Ports Group secured a 30-year extendable concession for the terminal back in June 2023, according to a press release published on Thursday. AD Ports retains majority control over the JV, giving it control over terminal management and operations.

The details: The first phase includes a USD 220 mn investment to construct a 400 m quay wall with a 16-meter depth and a 10-hectare logistics zone. The terminal will handle containers, general, break-bulk and other types of cargo at the Central West African nation’s biggest Atlantic port. Under the partnership, the pair forecast container volumes to see a 3% to 5% y-o-y growth rate over the medium term in the country.

REMEMBER- AD Ports Group is set to invest USD 500 mn at the terminal over the 30-yearduration, most of which will go towards digitization and improving efficiency at the terminal.

Investments are trickling in: AD Ports awarded China’s Shanghai Zhenhua Heavy Industries AED 420 mn supply contracts for new crane equipment to be deployed at its Republic of Congo New East Mole Terminal in Pointe Noire and Angola Luanda Terminal in September. East Mole Terminal and Luanda Terminal will each receive three STS cranes, while East Mole will receive nine hybrid RTGs, and Luanda will take eight.

AD Ports is making moves throughout the continent: The firm launched operations at the 192k sqm Luanda multipurpose port terminal in Angola last week, under a 20-year concession agreement to upgrade and operate the terminal via JVs with Unicargas and Multiparque. UAE-based East Africa Gateway (EAGL) — a JV between India’s Adani Ports and AD Ports Group — signed a share purchase agreement in June last year to acquire 95% of Tanzania International Container Terminal Services (Ticts) for USD 39.5 mn from Hutchison Port Holdings and Harbors Investments.

IN OTHER CMA CGM NEWS-

Syria’s Land and Sea Ports Authority has inked a new contract with French shipping giant CMA CGM to operate Latakia Port’s container terminal, Syria’s official news agency Sana reported on Thursday, citing a port authority statement. The agreement includes new terms and mechanisms and will cover the settling of all previous dues by both parties. No further details were disclosed.

The process: Talks between the two sides in the lead up to the new contract pertained to revenue distribution and the length of the contract, Reuters reported last week, citing a Syrian source familiar with the negotiations. Syrian authorities are looking to secure a bigger portion of the revenues, a shorter timeframe for the lease, and technical improvements, including a new ship deck, the source added.

Background: CMA CGM first began managing Latakia’s container terminal in 2009. The contract was repeatedly renewed, most recently in October last year, for an additional 30 years by authorities under Syria’s now-toppled Bashar Al Assad regime, Reuters reported.

There’s more port management avenues opening up: Syria voided a contract with Russian firm STG Stroytransgaz to manage and operate Tartus Port last month, which was initially inked under Al Assad, Reuters reported last month, citing three unnamed Syrian businessmen. The contract — signed in 2019 — was canceled after the Russian construction firm failed to fulfil its terms, including infrastructure developments and investments in the port, the newswire reported citing Tartus’ head of customs Riad Joudy comments to Al Watan.

REMEMBER- Syria eyes world trade return: The Syrian-Jordanian Freezone resumed operations last month after officials extended customs crossing hours and reactivated their bilateral freetrade agreement. Jordan also resumed agriculture trade with Syria last month following a 13-year hiatus due to civil unrest. Last month, the Saudi-based Al Jouf Cement Company inked a SAR 38 mn (c. USD 10.1 mn) contract to export cement and clinker goods to Syria last month.

Big logistics plans ahead: Syria has plans to develop train tracks with speeds of 120 km/hour in the first phase, followed by 300 km/hour at a later stage, Transport Minister Bahaa Eddin Sharm said in January. The nation needs new ports with a depth of 17 meters to accommodate large ships, he added. Efforts are underway to set up a freezone for used cars at the port of Latakia, which will have capacity for 5k cars, with the potential for expansion. Syria also announced plans to reduce transport tariffs by 20% on certain routes.

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