Maersk Strikes $500 Million Deal With Suez Canal Authority To Construct Berth At East Port

The Suez Canal Authority (SCA) has reportedly made a deal worth $500 million with the world-famous Danish shipping firm Maersk to construct a berth at East Port Said, news sites report.

The project is expected to add a 1km dock to the 500m quay at the container terminal of the East Port.

The project is likely to add to the number of cranes, increasing the number to 30. These will be powered by electricity instead of diesel to lower emissions.

Maersk is considering a strategy to transform the port into a smart port terminal that is operated with up-to-date digital systems. The authority discussed this plan with the board of directors of Maersk.

The Suez Canal hit a new record in July 2022, reaching the highest revenue in history, touching $704 million.

The month-on-month transit rate in the Suez Canal increased to historical levels after 2,103 vessels were observed, with an exclusive tonnage of about 125.1 million tons.

In a separate development, Reuters informed that Egypt signed two provisional agreements yesterday to develop unnamed port services and facilities. The contracts are with a consortium comprising Hong Kong’s Hutchison Ports, France’s CMA CGM, and a China-based shipper named Cosco.

It added that these agreements could result in investments of up to about $800m.

References: GCR, Fresh Plaza, Zawya, Egypt Today