Revealed: Jebel Ali Port Terminal 4 to cost $1.6bn

DP World says construction has started on Phase 1

Construction has started on Phase 1 of Jebel Ali Port’s Terminal 4, a US $1.6-billion development.
Construction has started on Phase 1 of Jebel Ali Port’s Terminal 4, a US $1.6-billion development.

by James Morgan

DP World has revealed that is planning to spend $1.6-billion (AED5.88bn) on the expansion of Jebel Ali Port in Dubai, UAE.

The UAE-headquartered maritime logistics company revealed that construction has started on Phase 1 of Terminal 4 at its flagship port, finally confirming the Middle East maritime industry’s worst kept secret.

The 3,000m causeway and bridge are scheduled to be partially open for traffic before the end of 2015. Terminal 4 is expected to increase Jebel Ali Port’s overall capacity by 3.1-million teu to 22.1-million teu by 2018.

Commenting on the expansion plans, Sultan Ahmed Bin Sulayem, chairman of DP World, said the decision to construct the new terminal was driven in large part by the UAE’s successful Expo 2020 bid.

“Given the strong economic outlook, both domestically and regionally – including the lead up to Dubai Expo 2020 – we are delighted to announce the construction of Terminal 4, which will deliver new capacity of 3.1-million teu in Phase 1,” Bin Sulayem said.

“The new capacity is a response to feedback from customers expressing the need for more capacity at Jebel Ali due to an expected increase in trade in the run up to Expo 2020,” he added. “Shipping lines will be able to bring more of the world’s largest vessels to our terminals… helping improve the efficiency of the region’s supply chain.”

The port complex will be equipped with at least 110 cranes, and will boast a total quay length of around 11,000m. Terminal 4 will be located on a reclaimed island north of the existing Terminal 2, allowing DP World to further expand capacity to a total of 7.8-million teu. As part of the project, a bridge is being built to provide access to the island from land near Terminal 2.

Phase 1 will include the construction of a 1,200m-long quay for Terminal 4, with an 18m draft and 13 of the world’s largest, remotely-operated quay cranes. Initially, 35 automated, rail-mounted gantry (ARMG) cranes will operate in the yard.

“We have invested significantly in the infrastructure, equipment, technology, and training of our teams at Jebel Ali,” said Bin Sulayem. “Our priority is to ensure that we can serve our customers efficiently, and help them realise the benefits of scale that the fleet of new, larger vessels bring.”

The news comes following the announcement that Jebel Ali Port and DP World’s other UAE terminals handled 7.9-million TEU during the first half of this year, representing growth of 6% compared to H1 2014.

DP World witnessed 4.1% like-for-like gross volume growth across its global portfolio during H1 2015.

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