Dubai Company undertakes operation of Container Port [Archives:2005/878/Business & Economy]

September 19 2005

Deputy President of State Authority of Free Zones, the chairman of Aden Free Zone Dr Mohammed Hamoud al-Wathn has affirmed that Dubai World Company for Ports scheduled to undertake administration and operation of the Aden container port next month would invest $ 370 million in development of its infrastructures.

Dr al-Wathn has elucidated that the company would develop the essential services of the infrastructures of the industrial zone and building a village for air freight at Aden airport in addition to contribution to evolve and modernize administration of the free zone and building a shipyard for ship repair.

The Yemeni official told the weekly newspaper 26 September that the ongoing negotiations with the company were progressing very well and the two sides have reached an identical vision about most of the pending points.

He added that the company has pledged to bring the number of containers reaching the port to 1.5 million containers by the third year following the beginning of operating it, pointing out that terms have been fixed for reconsidering the contract to be signed in case the company failed to attain a percentage of 80% of the agreed upon contract.

Mr. al-Wathn also said there were natural characteristics in Aden port distinguishing it from the region's ports, mainly its proximity to the international navigation route, but he ruled out entering in competition with Dubai port at the present time despite the presence of privileges making it preferable than Dubai port.