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Terminal operator announces five-year investment plan to increase capacity and call of larger vessels
Malaysia’s Northport, the port operating subsidiary of NCB Holdings, will allocate as much as RM1 billion to finance new redevelopment projects over the next five years beginning 2014, according to CEO Abi Sofian Abdul Hamid.
Under the proposed five-year plan, the terminal operator intends to upgrade its container wharf facilities and acquire new container handling equipment at its Klang Port facility to increase capacity and allow the call of larger ocean carriers.
The proposed redevelopment will also include upgrading of the conventional cargo terminals in Northport for break bulk, liquid and dry bulk cargo and also at
Southpoint – the oldest section of Northport.
“We are in the process (of getting the board's approval for the RM1 billion redevelopment project),” Abi Sofian told SunBiz in an interview.
We will make an announcement (about funding for the project) when everything is finalised.”
Northport has already embarked on a RM500 million expansion, which includes the development of a new 350 metre container berth, Wharf 8A, bringing the container quayline at the port to a total of 3.4 kilometres.
“The RM500 million expansion was fully financed by internal funds, but we would have to raise funds for the upcoming (RM1 billion) redevelopment project,” said Abi Sofian.
The company has so far used up half of its RM500 million allocation on upgrading works and the purchase of new container handling equipment and will spend the remaining RM200 million this year.
“Wharf 8A, which will be operational in August this year, will inject an additional container handling capacity of 600,000 TEU to the current 5 million TEU,” added Abi Sofian.
