The upgrade at Jeddah Islamic Port will be completed in four phases right through to 2024. On completion, it will be able to handle the biggest vessels plying the seas. Image Credit: Supplied

Dubai: Work has started on an ambitious expansion of the South Container Terminal in Jeddah Islamic Port. The revamp of the facility – overseen by Saudi Ports Authority (Mawani) and DP World Jeddah is in line with Saudi Arabia’s strategy to develop its ports infrastructure and expand the maritime logistics and transportation potential.

The re-development of South Container Terminal is part of a new concession agreement Mawani signed with DP World Jeddah in April last year to continue operating and managing the facility for the next 30 years. The company has committed to a total investment of $800 million to upgrade the terminal.

The overhaul, which will take place over four phases and is set to be completed by 2024, will see infrastructural upgrades, including the broadening of draft depth and quay, and the installation of advanced equipment and technologies. When complete, the revamped terminal will double Jeddah Islamic Port’s container handling capacity from 2.4 million TEUs to 4 million by 2024 and “solidify Jeddah’s standing as a major trade and logistics center on the Red Sea coast”.

Omar Hariri, President of Mawani, said: “The continuing development of our national ports through public-private partnerships is a priority. With its strong track record in successfully delivering on concession contracts and operating ports facilities, DP World Jeddah is a strategic partner for us in our efforts to further develop Jeddah Islamic Port.”

Our strategy as a smart trade enabler is to modernize the facility, expand capacity and diversify the range of smart logistics services on offer at the South Container Terminal. This will help in improving the quality of the service for our current customers and assist our efforts towards attracting new business to the port

- Mohammad Alshaikh, CEO of DP World Jeddah and Country Head Saudi Arabia