DP World Wins Limassol Port Contract
DP World, one of the world's biggest port operators, and the Cypriot logistics and services company GAP Vassilopoulos Public have won two concessions to manage commercial activities at Limassol Port in Cyprus starting in January.
P&O Maritime Cyprus, a unit of DP World, won a 15-year concession to exclusively provide port marine services at Limassol. DP World will own 75 per cent of each joint venture, with its Cypriot partner owning the rest.
Three contracts on the privatisation of Limassol port services were signed today at the Presidential Palace, marking ‘a new page for Cyprus’ great port’ according to Minister of Transportation Marios Demetriades.
DP World was awarded a 25-year concession to manage activities that include break-bulk, general cargo, ro-ro and the operation of the passenger terminal, the port operator said in a statement.
The container terminal is now under the management of the Eurogate/Interorient/East Med Holdings joint venture, while DP World/GP Vasilopoulos will manage marine services and the multi-purpose terminal.
The government will take in €10 million as a bonus for the signing of the contracts(€7.5 million from Eurogate, and €2.5 million from DP World for two contracts).
DP World expects to have about 86 million units of gross global capacity by the end of this year, up from 79.6 million units at the end of last year.
A transition phase will follow during which the current Cyprus Port Authority will continue to operate the port while DP World and P&O Maritime Services undertake required activities for a smooth transition.