DP World considers investments in Kazakhstan ports
Ports operator has signed two framework agreements with the government of Kazakhstan for Special Economic Zones in Aktau and Khorgos
Dubai's global ports operator DP World are in discussions to invest in new infrastructure in Kazakhstan’s ports and logistics sectors.
DP World’s chairman and chief executive Sultan Ahmed Bin Sulayem on Tuesday met Kazakhstan’s Prime Minister Askar Mamin in Astana and discussed the potential of new investments, DP World said in a statement.
“Our expertise in developing logistics and trade-enabling infrastructure will benefit tremendously from building facilities in Kazakhstan and to the needs of local businesses,” Mr Bin Sulayem said. “We believe that the economic fundamentals of Kazakhstan are very strong, which is why [we] look forward to continue investing there.”
The meeting follows the signing of two framework agreements with the government of Kazakhstan for Special Economic Zones in Aktau and Khorgos.
DP World has been providing management services to the Port of Aktau, Kazakhstan’s main cargo and bulk terminal on the Caspian Sea, and Khorgos SEZ and Inland Container Terminal, which is situated on the China-Kazakhstan border and has been acting as the primary transit point for trans-Eurasian cargo trains.
Both facilities play an important role in enhancing trade connectivity along the New Silk Route and have further actively promoted business connectivity between Kazakhstan and Dubai, DP World said.
The ports operator last month re-acquired UK-based transport and logistics company P&O Ferries for £322 million (Dh1.5 billion) as it seeks to expand into shipping-related sectors.
The acquisition is expected to close in the first half of the year. The purchase is expected to be earnings-accretive in the first full year of consolidation and to meet DP World's return targets, it said at the time.
Updated: March 5, 2019 05:35 PM