Saudi Arabia-based Ports Development Company (PDC) has signed a joint venture agreement with Nippon Yusen Kaisha (NYK), an automotive shipping line and logistics provider, to operate the first phase of the Ro-Ro Terminal at King Abdullah Port, a report said.

The terminal will be operational by Q3 of 2016, and is aimed to better serve the growing number of investors in the automotive sector in the Industrial Valley of King Abdullah Economic City (KAEC), added the Saudi Gazzette report.

The signing ceremony took place at King Abdullah Port, KAEC, on September 3, with Saleh Bin Laden, PDC chairman, and Koichi Chikaraishi, representative director and chief executive of automotive transportation, NYK.

After signing the agreement, the delegates went on a tour to King Abdullah Port to see the infrastructure development of the Ro-Ro terminal and the technologically advanced features and equipment that makes King Abdullah Port one of the most advanced and modern ports in the region, said the report.

Saleh Bin Laden said that the partnership will significantly diversify the services offered by King Abdullah Port, extending them beyond containerised goods, and will be an integral part of the facilities and services offered in addition to containers and bulk and general cargo.

He added that NYK’s operational experience will ensure King Abdullah Port becomes one of the best Ro-Ro services destinations in the region.

The automotive sector at KAEC is comprised of leading local and international players such as Abdul Latif Jameel (ALJ), Naghi Group, Juffali Automotive Company, and Al Zahid Group, which earlier in June 2015 celebrated the production of the first Volvo truck from its assembly line in KAEC, added the report.