DP World signs lease agreement with Canada’s Rodney Container Terminal

DP World will start running existing operations on January 1 next year and work in partnership with the port authority of Saint John, New Brunswick, on a planned expansion programme.

DP World has struck a deal to operate its first port on the east coast of North America by leasing a 15-hectare container depot in New Brunswick, Canada.

The Dubai ports operator announced yesterday that it had signed a lease agreement to expand and operate the Rodney Container Terminal in the town of Saint John.

Under the terms of the deal, DP World will take over running the day-to-day port operations at the start of January next year and work with the Saint John Port Authority on an expansion programme to create a 350-metre deepwater berth, an enhanced stacking area and an intermodal rail yard with 3,650 metres of track.

Work is expected to be completed in 2021. The lease will continue for another 30 years after that.

In Canada, DP World already operates three west-coast ports: the Centerm terminal in Vancouver, the Fairview Terminal in Prince Rupert and the Duke Point Terminal in Nanaimo.

The company, which is one of the world’s largest ports operators, said that its entry into Saint John will focus on Canada’s trade with Europe and Latin America, increasing sector competition in eastern Canada. It said that the deal would not be subject to Canadian regulatory approval.

“We believe that the future growth prospects for the port are strong,” said Sultan bin Sulayem, DP World’s chairman and chief executive. “Our investments and commitment to Canada are for the long term.”

The move comes as part of a global push by DP World to expand its strategic operations.

DP World last week signed a deal with Taiwan International Ports Corporation to develop a seventh terminal at Taiwan’s Kaohsiung Port to increase its Asian portfolio.

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