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PD Ports Completes First Expansion Phase

Maritime Activity Reports, Inc.

August 12, 2009

PD Ports has completed the first phase of its latest expansion programme to further develop its existing container terminal handling facilities at Teesport on the North East coast.

This $3.2m investment involved the relocation of the Port’s existing Vauxhall cars import compound to make some 10 acres of additional land available, directly behind the existing TCT2 container terminal facilities.  This land has been freed up to accommodate an increase in container volumes handled at Teesport.  The Port expects to grow its container volumes in the period before the Northern Gateway Container Terminal (NGCT) commences construction.  PD Ports' annual container handling capacity at Teesport has, as a result of this recent investment, increased from 206,000 teu (twenty foot equivalent unit) to 236,000 teu (125,000 to 143,000 containers).

About $990,000 of this latest investment has gone into the purchasing of new equipment including, two new empty container handlers, four terminal tractors and five trailers to more efficiently handle the growing number of containers stored within the dock area.

Initially the Port will use the area to hold stocks of empty containers for major existing customers, such as CMA CGM, Containerships and MSC.

David Robinson, PD Ports’ group chief executive officer, said “This investment signifies the first of a number of development phases at Teesport required to accommodate the growing container volume throughput.  The rise in volumes is a result of general growth of our existing customer activity, together with increasing portcentric logistics traffic from the likes of existing client Asda Wal*Mart and recently Tesco, whose 1.2 million sq ft import centre is due to open at Teesport next week. 

“Further expectation of growth in our container volume comes through transhipment volumes, with Containerships recently announcing Teesport as its strategic freight hub forNorthern Europe, bringing an increase of 20,000 teu through the Port each year.

“Our latest investment at the Port further demonstrates our commitment to future growth in container volumes over the next five years.  Investing now clearly reinforces the view that we have confidence in our customers developing their businesses at Teesport in the longer term.”

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