International Container Terminal Services Inc. (ICTSI) on Tuesday bared bagging a 25-year contract to operate and develop a container terminal in South Africa.
The Razon-led port operator said it was declared by Transnet SOC Ltd (Transnet) as preferred bidder for the 25-year joint venture with Transnet Port Terminals (TPT) to operate and further develop its flagship Durban Container Terminal (DCT) Pier 2 at the Port of Durban.
Transnet SOC is a South African government-owned company owning South Africa’s railway, ports and pipelines infrastructure.
DCT Pier 2 is Transnet’s biggest container terminal, handling 72 percent of the Port of Durban’s throughput and 46 percent of South Africa’s port traffic.
The terminal has 1,760 meters of operational quay and 120 hectares of container storage and backup area.
“Final award is subject to completion of legal agreements between Transnet and ICTSI,” the company reported.
ICTSI earlier booked a net income of $154.61 million in the January to March period, 9 percent higher than only $142.28 million in the same period last year.
The company’s revenue from port operations reached $572.25 million, an increase of 8 percent from the $528.27 million reported last year.
ICTSI handled consolidated volume of 3,102,105 twenty-foot equivalent units (TEUs) in the first quarter of 2023, 9 percent more than the 2,833,001 TEUs handled in the same period in 2022.
The Group’s estimated capital expenditure this year of $400 million covers mainly the ongoing expansion of terminals in Australia, Mexico, Philippines and Democratic Republic of Congo.
ICTSI operates 33 terminals in 20 countries across six continents and continues to pursue container terminal opportunities around the world.
