Photo: DP World
DP World confirmed today that it had reached an agreement with Fujairah Ports Authority to build two new terminals on the UAE’s east coast – and outside of the Hormuz Strait – under a 50-year concession.
The two facilities will be the Al Rugaylat container and multi-purpose terminal, and the Dibba General Cargo terminal, and in combination will increase DP World’s total container handling capacity in the UAE from 19.4m teu to almost 22m teu, while significantly expanding general cargo and ro-ro capabilities.
“Fujairah strengthens what Jebel Ali already delivers — a single, global integrated platform for moving goods across global supply chains and within the UAE and beyond,” Yuvraj Narayan, DP World’s group chief executive officer said.
“With Jebel Ali operating at high utilisation, this development provides the additional capacity to support long-term growth.
“For cargo owners, it means greater flexibility, more choice and stronger supply chain resilience,” he added.
However, according to an Alphaliner analysis, both DP World’s and AD Ports home terminals have seen traffic plummet since the outbreak of the US-Israel-Iran conflict.
“Both of the UAE’s main hubs in the Gulf, Jebel Ali in Dubai and the AD Ports-operated Khalifa Seaport in Abu Dhabi, have experienced a massive drop in activity since the Iran conflict escalated, which led to repeated closures (or de facto closures) of the Strait of Hormuz,” Alphaliner said today.
“Located outside the Gulf, Fujairah offers direct access to the Indian Ocean, making it a strategically important gateway for liner shipping.”
Source: Alphaliner
The project will establish a new deep-water trade gateway on the UAE’s east coast, capable of handling the latest generation of Ultra Large Container Vessels, with the Al Rugaylat container terminal designed to handle up to 2.5m teu annually, alongside 1.7m tonnes of general cargo and 190,000 Car Equivalent Units (CEUs),
Dibba will add up to a further 3.6m tonnes of annual general cargo capacity.
“The partnership with DP World marks an important milestone in Fujairah’s continued development as one of the region’s most important maritime gateways,” said Sheikh Saleh Bin Mohamed Al Sharqi, chairman of Fujairah Ports Authority.
“The Al Rugaylat and Dibba terminals will bring world-class operating capability, expanded capacity and new investment to the emirate.
“We look forward to working with DP World to deliver a project that will benefit customers, communities and the UAE’s wider economy,” he added.
The new development, which is expected to take somewhere between two and two and a half years’ to complete, will come alongside an expansion to Gulftainer’s Khor Fakkan container terminal, as previously reported by The Loadstar, and means that since Iran first closed Hormuz around 7.5m teu of new terminal capacity outside Hormuz is now planned.
“This development will add significant new capability to Fujairah’s port infrastructure and enhance the range and quality of services we can offer to cargo owners and logistics customers,” Captain Mousa Murad, Fujairah Ports Authority managing director, said
“By combining Fujairah’s strategic location with DP World’s operating expertise, we aim to deliver modern, efficient terminals that support regional trade flows, strengthen connectivity and meet the highest international standards,” he added.
Meanwhile, DP World recently announced it had acquired 700 new trucks expressly for the purpose of operating landbridge container movements that are likely to be a foundation of the new terminal’s cargo base.