APM Terminals (APMT) will develop a container terminal in the Port of Suape, Brazil.
The court of Ipojuca has confirmed APMT as the official winner of the judicial auction for the acquisition of an Isolated Productive Unit (UPI-B Cais Sul) of Estaleiro Atlantico Sul (EAS), in the Port of Suape, Pernambuco.
APMT presented a winning bid on 26 July for the acquisition of the area in the context of its judicial recovery process, to develop and operate a container and general cargo terminal.
“Suape has a great growth potential, and our vision is to invest in a terminal that will add additional growth opportunities for Brazil’s northeast region. We believe more competition in the region will unlock value to exporters/importers and attract new cargo flows, helping the Port of Suape grow at a faster pace,” Leo Huisman, APM Terminals Managing Director for the Americas Region said.
APMT plans to invest up to R$2.6 billion ($500 million) in the container terminal in the area and begin operations with an initial capacity of 400,000 TEU, adding 55 per cent more capacity in the port complex.
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Once all regulatory approvals have been obtained and the permits required to build the facility are issued, APMT plans to finalise construction within two years, and expects the terminal to be fully operational by the end of 2025, when dredging of the access channel and turning basin is also expected to be concluded by Suape Port.
“We expect that the market will benefit from the additional capacity, potentially making Suape a “hub” for the northeast, while generating as much as 338 direct and 1,300 indirect jobs, increasing competitiveness, and potentially attracting new direct services to Far East and Europe,” Leonardo Levy, Growth Manager for the Americas Region said.
The Port of Suape is situated in a highly strategic position in the Northeast and plays a vital role in Brazilian logistics.
For containerised cargo, Suape is among the top 10 ports in Brazil, being the eighth in throughput.
“APM Terminals is committed to Suape, the region’ growth, and the Brazilian market. We appreciate the strong support to our project from the government of Pernambuco, the local community, investors, and customers, and would like to reaffirm our commitment to investing in technology, new businesses and further growth of the region,” Santi Casciano, Head of Growth for the Americas Region said.
In the Americas region, APMT operates 15 terminals in 8 countries.
Earlier this week APMT detailed how it has boosted its Latin American portfolio with the welcoming of new services.