International Container Terminal Services Inc. (ICTSI), through its wholly owned subsidiary Victoria International Container Terminal Ltd. (VICT), has secured a 26-year extension to operate and manage the Webb Dock East terminal at the Port of Melbourne, extending the contract to 2066.
The extension, announced by the Port of Melbourne and VICT, moves the original expiry date from 2040 and results in a remaining contract life of 40 years at Australia’s largest general cargo and container port.
ICTSI has made sustained long-term investments in VICT since the original lease was agreed in 2014 and is currently implementing a new investment programme scheduled for completion in late 2027.
The programme includes the addition of a neo-Panamax ship-to-shore (STS) quay crane, four hybrid automated straddle carriers, and the extension of two container stacking blocks.
The agreement comes as the Port of Melbourne continues to record strong growth.
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In FY25, the port handled approximately $154 billion in trade, its highest on record, with container volumes forecast to double over the next 30 years.
VICT Chief Executive Officer, Bruno Porchietto, said the contract extension underscored the operator’s long-term commitment to the port and the Victorian economy.
Porchietto stated: “The extension allows us to continue investing in capacity, systems and people to support the State’s trade requirements over the long term, while providing shipping lines and cargo owners with greater operating continuity and certainty.”
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Port of Melbourne CEO Saul Cannon welcomed the agreement, describing it as a strong signal of confidence in the port’s future.
Cannon said: “We see VICT’s decision to extend its lease at the Port of Melbourne as a sign of great confidence in our future. We welcome the investment VICT is making in the terminal and its shared commitment to keeping our port as the freight capital of Australia.”
For more information:
ICTSI – https://www.ictsi.com/
