The United Arab Emirates’ AD Ports Group has signed a deal with Egypt’s Suez Canal Economic Zone to develop a logistics and industrial zone east of Port Said on the Mediterranean Sea.
The 50-year concession deal with the Abu Dhabi-based ports and logistics conglomerate will see the group developing, building, financing, operating and managing a 20 square kilometre (sqm) industrial and logistics zone in phases.
AD Ports has committed $120 million for the initial development and feasibility studies during the first phase of the development, which covers an area of 2.8 sqm to be developed over three years.
Key clients and partners, including one of the region’s foremost construction and development groups, Hassan Allam Holding, are expected to be involved in the first phase of the project, AD Ports said.
Hassan Allam is also responsible for AD Ports’ new multipurpose terminal in Safaga, on Egypt’s Red Sea coast.
The multinational’s CEO, Mohamed Juma Al Shamisi, said the latest development was a milestone that highlighted the strong economic relations between the UAE and Egypt.
“This infrastructure investment will provide a long-term source of economic growth for Egypt, while enhancing the Suez Canal’s role in promoting and supporting the East-West trade corridor.”
AD Ports has a presence in more than 50 countries and controls nearly 250 ships and 34 terminals.
The group has invested significantly in Egypt since 2022, acquiring a regional shipping company, Transmar; a port operator and stevedoring company, TCI; and the maritime agency and cargo services provider, Safina.
Construction is expected to start towards the end of 2025.
