APM Terminals Poti and Poti New Terminals Consortium have submitted a conceptual design for a first stage construction for the expansion of the Poti Sea Port, Georgia, according to a statement.
The project plan entails a 14.5-meter water depth at the 700-meter quay wall and 25 hectares of dedicated land for the bulk operation yard and covered storage facilities for various cargo types.
The Poti Sea Port is the largest in Georgia and accounts for 80% of the country’s container traffic and the vast majority of its bulk cargo.
The current multi-purpose facility has 15 berths, a total quay length of 2,900 meters, more than 20 quay cranes and 17 km of rail track.
According to APM Terminals, the project will directly create an estimated 250 new jobs for the local population and over 900 employment opportunities in related industries and services.
The terminal operator also claims that new facilities in Poti will support the growth of international trade through the Georgian transit corridor.
Speaking about the proposed expansion, Klaus Laursen, Managing Director of APM Terminals Poti, had this to say: “After high-level and in-depth negotiations with authorities, cargo owners, equity partners and financial institutions we concluded that Poti will continue as the prime access to the Caucasus and the Central Asian markets.
“We believe that we have the skills, ability and expertise to contribute to the economy of Georgia by persisting in our journey to further develop the Poti Sea Port.
“Poti Sea Port, owned and managed by APM Terminals, has a well-established market position. Based on the existing infrastructure in and around Poti it offers a strong platform for continued growth.
“With the introduction of modern technology, we are confident that Poti will remain the most effective and efficient logistical solution for our existing and future customers”.
Earlier APM Terminals Poti issued a statement that the plans would require an investment of over $250 million of private capital for the first phase.
This will include the construction of a 1,700 meter breakwater and a 400 meter multipurpose quay with 13.5 meters depth. This berth will be able to handle 150,000 TEU annually and vessels up to 9,000 TEU in capacity.
The second phase will require another ‘substantial’ amount and will see an extensive development of the port infrastructure and superstructure.
APM Terminals will look to build a 300 meter container quay equipped with three state-of-the-art ship-to-shore (STS) cranes, which will double the TEU capacity to over 1 million TEU.
According to the terminal operator, the construction will take approximately two years to complete.
The Port Sea Poti is the largest port in Georgia and handles 80% of the country’s container traffic.
APM Terminals released conceptual designs for the Poti Sea Port’s expansion in January 2019, which Port Technology International reported on.
Keld Christensen, Managing Director, APM Terminals Poti, said: “This investment in the strategically important port of Poti is a proof of our commitment and belief in Georgia and the development of a transport corridor that stretches into Central Asia.
“The expansion project – the cost of which is negligible to the average Georgian taxpayer – will lead to a significant economic advancement for the country and region.
“Combining the best logistical solution for our customers and leveraging the know-how and resources of a world-class company, it will create more than a thousand jobs and business opportunities in and around the port.
“We are confident in the Government’s support and will continue our effort and cooperation with the authorities to make sure Poti Sea Port Corporation remains the main gateway to the Caucasus and beyond.