Eurogate has signed a contract to operate the Limassol Container Terminal, expanding the German port group’s Mediterranean footprint.
The Bremen-based company said its plans to modernize the terminal in the largest Cypriot port, which has an annual capacity of 500,000 twenty-foot-equivalent units, with investments targeted at large-scale equipment and the IT system.
Eurogate has a 60 percent stake in the consortium that is taking over the terminal, with the remaining shares split equally between two local firms: Interorient Navigation, a shipowner and ship manager, and East Med Holdings, a wealth management group.
“Limassol Container Terminal is an ideal strategic addition to the Eurogate group network,” said Thomas Eckelmann, chairman of Eurogate Group Management.
“With Tangier in the west, Gioia Tauro and Cagliari in the central and Limassol in the eastern Mediterranean, Eurogate is now present throughout the Mediterranean region.”
A large share of the Limassol terminal’s throughput currently comprises mostly local cargo for the Mediterranean island.
The addition of Limassol increases Eurogate’s network to 12 container ports in six countries — three in Germany, five in Italy, and one each in Russia, Portugal, Morocco and Cyprus.
The group’s container traffic declined by 2 percent in 2015 to 14.5 million TEUs, but operating profit grew 19 percent to 91.1 million euros ($102.5 million) and revenue was 4.5 percent higher at 591.3 million euros.
DP World this week signed agreements with the Cyprus government to operate Limassol’s multipurpose terminal and provide marine services, including tugs and pilotage.
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