Top terminal operators are vying for a contract to manage and operate a new terminal that is nearing completion at the Port of Mombasa, in Kenya.
According to the Kenya Ports Authority (KPA), 19 international companies have presented their bids for a contract to manage and operate the second container terminal at the port.
The companies, some of which rank among the top ten terminal operators in the world, include PSA International, of Singapore, Hong-Kong based Hutchison Ports Investments, Dubai’s DP World, China Merchants Holdings, APM Terminals, SSA Port Terminal and China’s Danian Ports.
“The 19 companies will be evaluated, after which we will issue bid documents in a few weeks. They will be expected to complete the tender documents within 45 days and, if all goes well, the tender should be awarded by June,” says KPA legal services GM Muthoni Gatere.
The winning bidder will oversee the management of the $350-million terminal, which is slated for completion this month and expected to ease congestion at the Mombasa port and cement Kenya’s position as a regional gateway.
The private operator will manage the facility under a 25-year concession agreement and will be given the first right to operate Phases 2 and/or 3, depending on the financing option. The second and third phases will be ready by 2017 and 2020 respectively.
The winner will also be expected to recruit and train staff, buy equipment and install systems to enhance efficiency, particularly with respect to container vessels’ turnaround times.
The new terminal is part of the $2-billion programme the East African nation is implementing over the next eight years to expand the port and improve its efficiency and competitiveness.
While the first phase will have a capacity of 450 000 twenty-foot equivalent units (TEUs), the facility will handle 1.2-million TEUs once the other two phases have been completed.
The first phase involves the construction of two berths for post-Panama vessels of 60 000 deadweight tons (DWT) and Panama container ships of 20 000 DWT, as well as a smaller berth. The new berth allows three Panamax vessels of up to 250 m in length to offload containers.