AD Ports will develop, manage, and operate Iraq’s Grand Faw Port

AD Ports to develop Iraq’s Grand Faw Port: AD Ports Group inked a preliminary agreement with the General Company for Ports of Iraq, to form a joint venture to develop Iraq’s Grand Faw port and economic zone, as well as operate, finance, manage and operate the projects, according to a statement. The agreement also involves potential investments — as well as management, operation and development contracts — for future projects in other Iraqi cities.

There’s a lot we don’t know: Neither the timeline for the project, nor the details around the development of the port or the value of investments AD Ports is expected to pour into it, have been disclosed.

Background: The company had signed an MoU with the Iraqi port operator to boost cooperation in maritime and transportation in 2021.

What’s next? The two companies will work on feasibility studies and explore investments for the project, the statement said.

About the port: The long-delayed Grand Faw Port, set to be the largest in the Middle East, is one of several projects Iraq is working on in hopes of creating a shorter corridor between the Middle East and Europe that bypasses the Suez Canal. It also forms a key part of the ambitious Development Road project the country is planning, which will link the port to Turkey’s border. South Korean firm Daewoo is working on the construction of the port’s five berths under a USD 2.7 bn contract.

AD Ports has been on a roll: The Emirati port operator is present in more than 40 countries, and last month acquired a majority stake in a dry port in Georgia. It also inked agreements to develop ports in India and Pakistan earlier in February.