International Container Terminal Services, Inc. (ICTSI) is partnering with the Government of Iraq to invest in Umm Qasr Port, facilitating the unlocking of Iraq’s enormous economic potential by building the country’s port facilities of the future.
According to a media statement from the company, ICTSI will operate and expand container and general cargo facilities in the port.
Phase 1 of the Umm Qasr expansion would include a new 200 meter quay wall and storage yard, with a capacity of 300,000 TEUs. At full build, the facility would have 600 meters of quay and a 900,000 TEU capacity, the release further revealed.
Furthermore, ICTSI has been mandated to operate and manage the existing container terminal on Umm Qasr’s Berth 20 under the agreement. Initial investments are expected to exceed USD130 million.
Commenting on the new partnership, Mr Enrique K. Razon Jr., ICTSI chairman and president, said, “This is by far the largest ever private investment in Iraqi ports. We are excited about this opportunity, and we would like to thank the Government of Iraq for the continued support in this endeavor.”
Located on Iraq’s Gulf coast, Umm Qasr is the largest port in Iraq and the main gateway to the Iraqi market. The port handles liquid and dry bulk, general cargo and containers. It has 21 berths, with total berth length of 5,000 meters.
The port has recorded a throughput of five lakhs containers (TEUs) in 2013.
Commenting on the development, Mr Hans-Ole Madsen, ICTSI Senior Vice President for Europe and Middle East Region, said, “The port has seen impressive growth over the past decade ago, and this is testimony to the spirit and skills of Umm Qasr Port’s management team.”
Madsen further added: “But current cargo volumes are still only a fraction of what is expected in the future. The Iraqi economy is being transformed as Iraq develops its industrial potential and catches up with its neighboring economies. ICTSI will provide the world-class port infrastructure and cargo handling skills required to support Iraq’s economic transformation.”
ICTSI is a leading port management company involved in the operation and development of marine terminals and port projects worldwide.
The Company was among the first international terminal operators to take its expertise overseas. ICTSI has received global acclaim for its public-private partnerships with economies divesting of its port assets to the private sector.