31/12/2010 00:00 AST
DP World Ltd, the fourth-biggest port operator in the world, will hand over the management of Abu Dhabi’s Mina Zayed port operations to Abu Dhabi Terminals in January following the end of a five-year contract.
DP World and Abu Dhabi Terminals, or ADT, a joint statement said on Thursday that, with the expiry of a five-year management services agreement, from the New Year, marine terminal operations at Abu Dhabi’s Mina Zayed will be handled by ADT.
“In addition, discussions around the operations for the new Khalifa Port have not resulted in any binding agreement,” the emailed statement said.
DP World, ADT and its parent Abu Dhabi Port Company, or ADPC, continue to co-operate, as they have in the past, the statement said.
DP World, which managed 50 terminals across Asia, Europe, Africa and the Americas before today’s announcement, agreed to sell a 75 per cent stake in its Australian subsidiary on December 22. Citi Infrastructure Investors bought the major share of the Australian unit, which operates terminals at five ports, for $1.5 billion.
“We have worked closely with ADT and ADPC over many years and we will continue to work closely with them into the future. Efficient infrastructure supports economic growth and Mina Zayed, and Port Khalifa and its associated industrial park when built, will contribute to the growth of Abu Dhabi and the UAE,” said Mohammed Al Muallem, Senior Vice-President and Managing Director DP World, UAE region.
“We are proud of our achievements at Mina Zayed and our success in supporting our colleagues in Abu Dhabi to bring Mina Zayed in line with global standards of operations and service. We wish the team at ADT every success for the future,” Al Muallem said in a statement.
Tawfeeq Al Mubarak, Chairman of ADT, said his management team would continue to work closely with DP World to ensure a smooth transition.
“We thank DP World for their support and sharing their expertise and experience with us over the past five years. We are committed to improving the capabilities of ADT to better serve our customers and to enhance the capabilities of the company in anticipation of the move to the new Khalifa Port in fourth quarter 2012.”
The Khalifa Port will have an initial capacity to handle 2 million 20-foot containers, rising to 15 million when all phases are completed by 2030, Abu Dhabi Ports said in June.
Tony Douglas, chief executive of ADPC, said: “We look forward to continuing to grow our handling operations, providing the highest level of excellent service to our customers, which in turn will contribute to the development of Abu Dhabi and the UAE.”
DP World has plans to list its shares on the London Stock Exchange next year. About a fifth of DP World’s shares are currently available to investors through the Nasdaq Dubai, where they would continue to trade alongside those in London.
Khaleej Times
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