According to MANA, ABU Dhabi Ports said it has signed an agreement with Cosco Shipping Ports' subsidiary in the city for a container terminal concession.
Under the deal, Cosco Shipping Ports will build, manage and operate Khalifa Port Container Terminal 2 (KPCT2) which has a draft depth of 18 metres, with 1,200 metres of quay wall and adjacent land.
The initial 800 metres of the quay and the corresponding concession area are scheduled to start operations by the first half of 2018, while the remaining 400 metres and the corresponding expanded concession area are expected to commence operations by 2020.
In exchange for the concession rights to the container terminal, Cosco Shipping Ports will pay a total consideration of $738m to Abu Dhabi Ports.
"This investment is expected to strengthen Cosco Shipping Ports’ sustainable growth and create value for our shareholders.
"We are confident that the project will stimulate the implementation of ‘One Belt One Road’ initiative, and will promote strategic cooperation between China and the UAE”.