Saudi-based Red Sea Gate Terminal (RSGT) has announced its plan to invest in the Jeddah Islamic Port expansion, to help boost its operational capabilities and for future renovation work.
According to a statement from RSGT, it has taken over the operations in the northern section of the Jeddah Islamic Port. Moreover, a 30-year concession agreement for the existing north-port facility was signed by the company with the Saudi Arabian Ports Authority (Mawani) in 2019.
RSGT stated that this included $1.7 billion of investment in infrastructure, equipment and technology by 2050, as annual container throughput capacity will surge to 8 million TEUs (twenty-foot equivalent unit).
Commenting on the new developments, Jens Floe, CEO of RSGT, said: “As RSGT begins operations at the northern part of Jeddah Islamic Port today, we are very proud to commemorate this tremendous milestone of the RSGT growth strategy, demonstrating our ongoing and long-standing commitment to expansion, modernization, and world-class terminal services.”
By 2023, the expanded RSGT, covering an area of 1.5 million sqm., will have increased annual container throughput capacity to 5.2 million TEUs, he stated.
RSGT will be equipped with 24 Super Post-Panamax quay cranes, 67 Rubber-Tyred Gantry Cranes, and will offer 4,900 Reefer plugs at the end of the first three-year phase of investment, the company noted.
The terminal has already signed an Islamic financing agreement with Banque Saudi Fransi and Al Rajhi Bank for the project, it added.
“We are looking forward to executing this outstanding project and thank the Saudi government, the Ministry of Transportation and Mawani for their foresight and trust in our ability to continue to bring excellence to the trade,” Floe concluded.