APM Terminals has signed a 25-year concession agreement for the operation of the Port of Monrovia in Liberia, having been named the preferred bidder for the port management and modernization project last March. The now formalized agreement for the port’s privatization will result in the investment of $120 million USD in the facility over the course of the contract term.
Monrovia is the Capital and largest city in Liberia, a nation of 3.8 million people on the West African coast. “As part of APM Terminals’ long-term and emerging markets strategy, we have thoroughly investigated the needs of our customers in this market in serving them through a gateway into Liberia” said APM Terminals Senior Vice President and Head of New Terminals, Peder Sondergaard.
The Liberian government elected to privatize the port in response to the urgent need for port infrastructure improvement, as the current facility was developed prior to containerized cargo transportation and requires investment in equipment and technology to bring the facility up to current industry standards.
A customer of the port - local Monrovia businessman, Upjit Singh Sachdeva of Jeety Trading Corp. stated “Privatization is always something to be excited about and this is no exception”, adding “APM Terminals is the world’s leading port operator and we expect great things in the near future.”
Most of APM Terminals’ investment will in the initial years be to construct the quay, establish efficient yard handling procedures and install the new equipment required to transform the port into a more competitive, world-class facility capable of handling modern, deep-draft vessels.
“This will be the first 100% APM Terminals-owned terminal in Africa, which is a big milestone for us and represents the company’s positive outlook for the region” said Hans-Ole Madsen, Vice President for Business Development for Africa, Middle East and Indian Subcontinent, who participated in the signing ceremony on August 17th with Richard Tolbert, Chairman of the Liberian National Investment Commission, and Patrick Sendolo, Head of Liberia’s Port Reform Secretariat.
The APM Terminals Global Terminal Network is well-established in West Africa with facilities in Abidjan, Ivory Coast; Cotonou, Benin; Tema, Ghana; Apapa (Lagos), and Onne (Port Harcourt), Nigeria; Douala, Cameroon; Pointe Noire (under development), DR Congo; and Luanda, Angola.
“We look forward to working with APM Terminals. We welcome them to Liberia and eagerly await the improvements to be made to the Freeport of Monrovia” said Mr. Sachdeva – who also serves as honorary Indian Consul General.