AD Ports Group awards construction contract for new terminal in Egypt

AD Ports Group has signed an agreement with Hassan Allam Construction to build infrastructure for the Noatum Ports – Safaga Terminal on Egypt’s Red Sea coast.

The terminal will be the first internationally operated port facility in Upper Egypt and is expected to serve as a major catalyst for regional economic growth.

The new terminal will cover approximately 810,000 square metres and will feature diverse capacities, including 450,000 TEUs for container handling, five million tonnes of dry bulk and general cargo, and 1 million tonnes of liquid bulk capacity.

The terminal will also accommodate 50,000 CEUs for ro-ro (roll-on/roll-off) facilities.

The site will also include multiple support structures, including administration buildings, workshops, warehouses, and authority buildings, as well as extensive infrastructure development such as roads, utilities, and security systems.

The project will incorporate a 48,000 square-metre concrete apron, an 80,354 square-metre container terminal with the required supporting infrastructure, and around 66,360 square metres dedicated to general cargo and break-bulk operations.

AD Ports Group to work with Hassan Allam Construction

Captain Mohamed Juma Al Shamisi, MD and group CEO of AD Ports Group, expressed enthusiasm about the partnership: “We are delighted to sign this construction agreement with Hassan Allam Construction to build Noatum Ports – Safaga Terminal, which will create a new source of economic growth for the people in the region, in line with the wise vision of our leadership in the UAE.”

Hassan Allam, CEO of Hassan Allam Holding, also highlighted the strategic significance of the project, saying, “We welcome this opportunity to work with AD Ports Group, one of the fastest growing trade, transport and logistics groups in the Middle East, to deliver Noatum Ports – Safaga Terminal, which will be a key addition to Egypt’s maritime and ports infrastructure on the Red Sea.”

The Safaga Terminal is part of a broader $349m investment by AD Ports Group in Egypt over the last three years, which includes the acquisitions of maritime companies Transmar, TCI, and Safina.

The group has also planned the construction of a Ro-Ro terminal in Ain Sokhna and secured long-term concessions to develop and operate cruise terminals in Safaga, Hurghada, Ain Sokhna, and Sharm El-Sheikh.

The UAE is Egypt’s second-largest trading partner and its largest international investor, with $9.6bn in investments in 2023, according to the Egyptian Commercial Service (ECS).

Bilateral trade between the two nations amounted to Dhs25.2bn in 2023, according to the UAE Ministry of Economy.

More than 1,600 Emirati companies are active in Egypt, further strengthening economic ties. In February 2024, the two countries signed a landmark agreement, with the UAE committing $35bn to develop the Ras El-Hekma coastal region, located 350km northwest of Cairo.

The Noatum Ports – Safaga Terminal project is expected to play a pivotal role in Egypt’s maritime infrastructure development, enhancing trade capacity and fostering economic growth across the region.