DP World Eyes Arctic Sea Route

Dubai-based ports operator DP World hopes to run ports that Russia plans to build along an Arctic sea route intended to shorten shipping times between east and west.

The quadrilateral agreement of intent with Russian Direct Investment Fund, an investment fund of the Russian Federation, Rosatom, the infrastructure operator of the NSR and Norilsk Nickel, a world leader in the production of palladium and high-quality nickel, was signed, reported Reuters.

The signed deal between the Emirati company and the Russian firms is not legally binding, according to Reuters.

“This is going to change the [economic] growth for Russia,” DP World Chief Executive Sultan Ahmed bin Sulayem  said in an interview with Reuters in St. Petersburg. “Russia is creating the fastest route between the North Far East and Europe.”

Under the agreement, the four parties will conduct a comprehensive study to identify the most effective commercial options for the use of the Northern Sea Route.

Russia’s largest private gas producer, Novatek, has already begun using the route to transport liquefied natural gas (LNG) to Europe and Asia.

Dubai government-controlled DP World operates 78 marine and inland terminals, supported by more than 50 related businesses in over 40 countries.