DP World, Abu Dhabi end terminal deal
Abu Dhabi, December 30, 2010
DP World and Abu Dhabi Terminals (ADT) announced today that with the expiry of a five-year management services agreement, from the New Year, marine terminal operations at Abu Dhabi’s Mina Zayed will be handled by ADT.
The terminal is currently managed by DP World.
In addition, discussions around the operations for the new Khalifa Port have not resulted in any binding agreement, said a statement.
DP World, ADT and its parent Abu Dhabi Port Company (ADPC) continue to co-operate, as they have in the past, it said.
Mohammed Al Muallem, senior vice president and managing director DP World, UAE region, said: “We have worked closely with ADT and ADPC over many years and we will continue to work closely with them into the future. Efficient infrastructure supports economic growth and Mina Zayed, and Port Khalifa and its associated industrial park when built, will contribute to the growth of Abu Dhabi and the UAE.”
He added: ”We are proud of our achievements at Mina Zayed and our success in supporting our colleagues in Abu Dhabi to bring Mina Zayed in line with global standards of operations and service. We wish the team at ADT every success for the future.”
Tawfeeq Al Mubarak Chairman of ADT said: “We thank DP World for their support and sharing their expertise and experience with us over the past five years. Our management team will continue to work closely with DP World to ensure a smooth transition. We are committed to improving the capabilities of ADT to better serve our customers and to enhance the capabilities of the company in anticipation of the move to the new Khalifa Port in Q4 2012.”
Tony Douglas CEO of ADPC added: “We look forward to continuing to grow our handling operations, providing the highest level of excellent service to our customers, which in turn will contribute to the development of Abu Dhabi and the UAE.”
DP World said the earnings before interest, tax, dividend and amortisation (EBITDA) contribution from the agreement was "not material" to the company.
DP World -- considered one of the more profitable units of debt-laden Dubai World -- had first-half profit from continuing operations of $206 million, up 10 percent on a recovery in container volumes. – TradeArabia News Service and Reuters